TRIG snaps up 212 MW Swedish onshore wind farm for $235m

The Renewables Infrastructure Group (TRIG) has bought the Jädraås wind farm in Sweden, adding just over 212 MW of operational onshore wind capacity to its portfolio. The project has been acquired from Arise and Sydvastanvind, controlled by European renewables investment group Platina Energy Partners, for €207m ($235m). It means that over a third of TRIG's portfolio by value is now outside of the UK. 

Sectors

TRIG buys Jadraas wind farm in Sweden – The Renewables Infrastructure Group (“TRIG”) has exchanged contracts to acquire a 100% interest in the Jädraås wind farm, an operational onshore wind farm with a capacity of 212.85MW for a consideration of approximately EUR207 million on an unlevered basis. The wind farm is located near Ockelbo, north of Stockholm and is being acquired from Arise AB and Sydvastanvind AB (controlled by Platina Energy Partners LLP). The acquisition will be funded by the company’s acquisition facility and is expected to complete in March.

Jädraås is comprised of 66 Vestas V-112 turbines of 3.225MW capacity each and has been operational since May 2013. Jädraås benefits from an all-inclusive long term O&M contract with Vestas and a strong operating track record. Jädraås will represent approximately 11% of the Company’s portfolio on a committed investment basis.

Renewables in Sweden benefit from green certificates, but the substantial majority of revenues come from power sales. Jädraås has hedging agreements in place fixing power prices for 70% of expected power generation until the end of 2023, and for approximately 50% of the green certificates until the end of 2027.

Following the acquisition, 34% of TRIG’s portfolio value is in assets outside the UK, measured on a committed investment basis. TRIG continues to manage its currency exposure to non-sterling assets by hedging approximately 50% of the valuation of such assets.

Richard Crawford, director, Infrastructure at InfraRed Capital Partners, said: “Jädraås is our second investment in Sweden and represents an expansion of our presence in the Nordic market. With power price hedging in place for most of expected generation for the next 5 years and attractive unlevered returns, this acquisition complements our existing portfolio very well, whilst increasing our exposure to one of Europe’s most attractive regions for renewable energy development.”

TRIG : TRIG buys Jadraas wind farm in Sweden