LONDON (ShareCast) - (Sharecast News) - Renewable infrastructure investor Greencoat UK Wind announced a new share issuance programme to be conducted over the next year on Thursday, through a number of tranches.
The FTSE 250 company said the initial placing and the initial offer for subscription was launching immediately.

Under the share issuance programme, it said it could issue up to 750 million new ordinary shares over the next 12 months.

The net proceeds from the initial tranche were expected to be used to repay amounts drawn under its facility agreement, and the net proceeds from each subsequent tranche would be used to both repay amounts drawn under the facility agreement, and to make further investments.

Greencoat said the initial tranche's issue price of 131p represented a discount of 7.4% to the closing price on 2 September, and a premium of 10.7% to the last reported net asset value.

It confirmed that shares issued under the initial tranche would be entitled to future dividends, including the quarterly dividend for the quarter ending 30 September.

The initial tranche, and all subsequent tranches, were expected to be accretive to the prevailing net asset value per share of the company, after costs, with the tranche expected to close on 28 September.

"Following our investment in the Walney offshore wind farm, and anticipating our commitment to make wind farm investments over the next 18 months, the share issuance programme will enable the company to pay down debt and continue to capitalise on our strong pipeline of acquisition opportunities in the UK wind farm market," said chairman Shonaid Jemmett-Page.

"Given the size and scale the Company has attained over recent years, UKW is well placed to make value- accretive acquisitions and further enhance returns for our shareholders."

At 0928 BST, shares in Greencoat UK Wind were down 4.16% at 135.52p.

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