Triple Point Energy Transition PLC (LSE:TENT) has confirmed the sale of assets generating £14.5 million of upfront cash.
As part of a ‘managed wind-down’ process, it announced the disposal of its Combined Heat and Power (CHP) loan assets, referred to as the CHP Portfolio, for £14.5 million immediately plus three subsequent £1 million payments – to be paid in September 2024, June 2025, and September 2025.
The CHP portfolio comprised £29 million of loans to Harvest Generation Services Ltd, Glasshouse Generation Services Ltd and Spark Steam Ltd. These businesses supplied heat, electricity and carbon dioxide to an on-site tomato grower.
The assets were sold to P3P Partners, described as ‘the primary income source for the CHP businesses’, which has at the same time refinanced the portfolio.
P3P in January 2023 acquired the on-site tomato grower, and, as reported by TENT in March, payments from the grower were delayed.
TENT noted that it had conducted discussions with other potential buyers but concluded that P3P Partners' offer provided the best value for shareholders.
"Following shareholder approval for a managed wind-down, we are pleased to be making progress in returning shareholder value from the group's portfolio, with this refinancing reducing the number of investments in our portfolio by three,” TENT chair John Roberts said in a statement.
“Thus far we have realised £61.6 million, providing 92% of the value of those investments, and we will continue to update the market as we proceed with our plans for returning value to shareholders."
In London, TENT shares were up 4.56p or 7.5% changing hands at 65.56p.