GCP Infrastructure Investments (LSE:GCP), the London-listed fund that invests in UK infrastructure debt, said it had completed a debt financing of its solar portfolio that will generate around £40 million in cash proceeds.
The transaction introduces senior loans against a portfolio of ground-mounted solar projects in which the company previously held an entirely equity-like exposure.
That represents a loan to enterprise value of around 38%.
The company said the deal recycled its capital at a valuation broadly in line with that of the relevant solar assets in its published net asset value as at 31 March.
GCP also set out progress on a pipeline of asset disposals.
It is selling an anaerobic digestion project for proceeds of around £3 million, which is expected to complete imminently.
The company is also disposing of two onshore wind projects for around £10 million, with completion expected in mid-July.
A previously announced sale of a supported social housing investment, which will repay around £47 million of loans, is expected to complete during the summer.
Proceeds from the financing and any completed disposals will be applied against amounts outstanding under the company's credit arrangements and in line with its capital allocation framework.
That framework, first set out at the company's capital markets day, prioritises returning capital through disposals and refinancing.
The use of that capital depends on the relationship between the company's share price and its net asset value.
At a share price discount to net asset value of more than 15%, the company will continue to return capital through buybacks.
At narrower discounts, it will balance buybacks against new investment opportunities.
The company said share buybacks would be made under the authority granted at its annual general meeting in February 2026.
