Pension trio backs 10MW UK solar buy

The deal agreed by Greencoat Solar is the first acquisition since the initial 108MW bought upon launching late last year.

UK-based solar vehicle Greencoat Solar has agreed to buy two projects in a deal backed by three pension schemes.

The unlisted solar arm of investment firm of Greencoat Capital is set to buy the projects from Chinese developer ReneSola. The sites have a combined capacity of about 10MW and benefit from the UK’s 1.2 Renewables Obligation subsidy regime.

Greencoat agreed the deal through newly formed vehicle Greencoat Solar II, backed by the ITV Pension Scheme, the Akzo Nobel Pension Scheme and Northern Trust Nominees (Ireland). Greencoat confirmed further deals are planned through the scheme.

The transaction is the first agreed by Greencoat Solar since it announced the acquisition of nine plants with a capacity of 108MW upon its launch in mid-December last year. It said at the time it would be looking to buy a further 150MW over the following six months, although this is separate from the latest deals agreed by Greencoat Solar II.

Greencoat Capital’s search for solar assets is its only venture being pursued through the unlisted route. The firm’s UK wind venture has been listed on the London Stock Exchange since 2013, while its recently launched Greencoat Renewables listed on the Irish Stock Exchange’s ESM in July, garnering €270 million to focus on the Irish and wider European market.