London-listed investment group TRIG has secured a 14.7 percent stake in the UK’s 316.8MW Sheringham Shoal offshore wind project, marking its first move in the sector.
The InfraRed-advised firm paid £80 million ($108.5 million; €89.9 million) for the share, which has been bought as part of Equitix’s £558 million swoop for 40 percent of the site last month.
Sheringham Shoal has been operational since 2012 and is significantly backed until 2032 by the UK’s Renewables Obligation subsidy scheme, earning 2.0 Renewables Obligation Certificates per MWh, as well as having long-term power purchase agreements in place. It is also owned by Statoil (40 percent) and the Green Investment Group (20 percent).
TRIG’s maiden offshore wind investment follows its decision in May 2016 to increase the allocation of non-onshore wind or solar projects in its portfolio to 20 percent of its portfolio value at the time of investment. Sheringham Shoal joins the Broxburn battery energy storage project, acquired in August, as the assets held in this category.
“In the last few years TRIG and its Managers have evaluated several projects in the offshore wind sector, which has matured into a highly sought-after institutional investment category,” said Helen Mahy, chairman of TRIG. “TRIG’s partnership on Sheringham Shoal, alongside investors with significant experience in renewables and in broader energy markets, represents an ideal first step for TRIG in this space.”
TRIG’s portfolio now consists of 57 projects in the UK and France with a combined capacity of 820MW, including Broxburn which remains under development.