Bluefield buys eighth solar farm

The deal brings the amount deployed by the UK fund to 85% of the £130m IPO proceeds it collected six months ago.

Bluefield Partners, a London-based fund manager, has entered into a binding contract to acquire its eighth large-scale solar plant.

No financial details were disclosed for the deal, but figures from previous announcements suggest it could be worth around £13 million (€15.8 million; $21.6 million). The transaction brings the combined capacity of Bluefield’s UK solar portfolio to 92 megawatts peak (MWp).

UK-based developer Solarcentury will build the Kent-based plant and warrant its performance for an initial period after the construction phase. It will also undertake the ongoing operation and maintenance of the plant under a separate agreement.

The deal follows a raft of similar acquisitions by Bluefield, which has now committed around 85 percent of the £130 million IPO proceeds it raised on the London Stock Exchange in July 2013.

The company believes it remains on track to deliver its target dividends of 4 pence per ordinary share for the first financial year ending 30 June 2014 and 7 pence per ordinary share for the following financial year. The dividend is due to rise annually with inflation thereafter.

Last October, Bluefield said it was in advanced negotiations to acquire assets qualifying for Renewable Obligation Certificates – the subsidy scheme developed by the UK to support renewables – worth an estimated £175 million. The firm expects to fund the transactions through fresh equity issuance.