Greencoat UK Wind PLC (LSE:UKW) has agreed to acquire the Dalquhandy wind farm in South Lanarkshire, Scotland, from BayWa for approximately £50mln.
Located near Coalburn, Dalquhandy is a 42MW wind farm comprising ten Vestas V136 4.2MW turbines and comes with a ten-year fixed price power agreement (PPA) with BT for 80% of its output.
Completion, expected in May 2023, will take Grenncoat UK Wind’s (UKW) generating capacity to 1,652MW.
It will be the sixth wind farm it has acquired from BayWa after Cotton Farm and Earl's Hall Farm (2013); Kildrummy (2014); Stroupster (2015) and Bishopthorpe (2017).
The deal, to be paid for in cash, takes Greencoat UK Wind’s portfolio to 46 wind farms.
In a statement, Shonaid Jemmett-Page, the trust's chair, said: “We are delighted to announce the acquisition of Dalquhandy wind farm.”
Greencoat UK Wind continues to generate significant cash flow in excess of its dividend and "our pipeline of potential acquisitions remains healthy," she added.