October 2 (Renewables Now) - Ireland-based investor Greencoat Renewables Plc (LON:GRP) has agreed to make a second investment in the 288-MW Butendiek offshore wind farm in Germany, after acquiring a 22.5% stake earlier this year.
The Schroders Greencoat LLP-managed firm said on Monday that it is set to buy an additional 22.5% stake from an affiliate of Siemens Pension Trust. The stake is valued at around EUR 168 million (USD 177.8m).
More specifically, Greencoat Renewables expects to participate in the investment together with other funds managed by Schroders Greencoat by taking 72% of the 22.5% stake acquired from the Siemens Pension Trust affiliate. Greencoat Renewables’ share of the investment is expected to reach EUR 122 million, according to Monday’s announcement.
The latest agreement follows Greencoat Renewables’ initial 22.5% stake acquisition from alternative investment fund Marguerite Pantheon for an undisclosed amount.
The Butendiek wind farm is located in the German exclusive economic zone in the North Sea. Its 80 3.6-MW Siemens Gamesa turbines have been in operation since 2015.
The wind farm will benefit from a fixed-price feed-in tariff (FiT) until December 2023. As of recently, Butendiek has a power purchase agreement (PPA) in place with a “large multinational” for 62.5% of the total output, equivalent to around 700 GWh per year, Greencoat said. The PPA will run for six and half years.
Greencoat’s new investment in Butendiek requires regulatory approval. The firm expects to finalise the transaction in November 2023.
(EUR 1.0 = USD 1.059)