Greencoat UK Wind PLC (LSE:UKW) has increased its wind farm generating capacity to more than 2 GW through the acquisition of the outstanding 50.1% of Kype Muir Extension (KME).
Alongside another Greencoat fund, the trust paid OnPath Energy £14.25 million for the stake with its direct holding in KME now 66%.
KME in South Lanarkshire comprises 15 turbines and came fully on stream in June.
Lucinda Riches, UKW’s chairman, said KME is a high-quality wind farm and the price paid would make it accretive to NAV.
In a third-quarter trading update, Riches added that UKW had also refinanced £725 million of revolving credit and near-maturing term debt with existing lenders.
“The migration to a common terms arrangement further enhances our debt platform, and our ability to conduct a competitive refinancing with our existing lenders is testament to the attractiveness of the company's credit.”
The weighted average cost of the company's debt is 4.68% (30 June 2024: 4.63%) with the next maturing term debt facility due in November 2026, said the statement.
Net assets at the end of September were worth £3.6 billion or 158.6p per share with UKW also announcing a quarterly dividend of 2.5p.
Shares rose 0.7% to 136.4p.