PNE AG Cuxhaven, 25th September 2014 - The wind project developer PNE WIND AG intends to expand the strategic positioning of the company using the expected proceeds, amounting up to approx. € 80.3 million, from the issuance of new shares and convertible bonds. The subscription periods end on 29 September 2014. Going forward, commissioned wind farms will be placed in a new subsidiary company, called Yieldco. PNE WIND AG plans to sell this subsidiary wholly or partly to investors until the end of 2016.
This sales channel for renewable projects is relatively new in Germany and therefore attracted plenty of attention at the Hamburg WindEnergy 2014, the leading wind energy trade show which ends tomorrow. Yieldcos are well tested and have proven themselves to be highly successful in the Anglo-Saxon markets. Martin Billhardt, CEO of PNE WIND AG explains: "In the US and the UK, Yieldcos have been able to raise considerable capital during their IPOs or trade sales with institutional investors looking for investment opportunities which deliver steady and reliable income streams with a low level of risk."
PNE WIND AG has already laid the foundation for this strategic expansion through its development activities. Currently, wind parks with a total nominal output of 80 MW are permitted in Germany and the applications for permits have been submitted for additional projects with a total output of 90 MW. Upon completion, this portfolio of wind parks with a total output of approx. 150 MW are to be placed into the Yieldco portfolio.
"During our recent investor road show meetings, a number of institutional investors representing infrastructure and sustainability funds confirmed that Yieldcos represent a very interesting investment opportunity. German wind parks are very attractive investments to both domestic and foreign investors due to the reliable regulatory framework - we plan to satisfy this demand", as Mr. Billhardt explains the company's motives behind forming the Yieldco.
PNE WIND AG expects to benefit in multiple ways: The Company anticipates that a bundled and completed wind park portfolio could be sold at higher prices than would be achieved if the wind parks were sold on an individual basis. Investors prefer to purchase wind parks with operational results and not having to face construction risks. Furthermore, PNE WIND AG plans on generating additional revenue through the management of the Yieldco and by providing O&M services for the wind parks in the portfolio. The formation of the Yieldco will also provide an additional sales channel for other projects developed by the PNE WIND Group. Finally, the temporarily owned wind parks will also deliver steady returns that will benefit the Group until the sale of the Yieldco.
Martin Billhardt comments: "Entry into the Yieldco business will open up additional potential for our core business activities in the areas of domestic and international on- and offshore wind farm development, repowering and O&M. We confirm our cumulated EBIT forecast of € 110 to 130 million for the financial years 2014 to 2016 and see the prospect of raising our guidance upon realizing the Yieldco concept".
|
distributed by
|
