Greencoat UK Wind PLC (LSE:UKW) announced a revision and extension of its investment management agreement with Greencoat Capital.
The main changes include an additional tier to the cash fee structure that will see the renewables investment company pay a reduced charge of 0.7% above a net asset value of £3bn.
The agreement will run for four years, backdated to April of 2022. The notice period will drop to a year if the stock trades below NAV for six months or more on average, while the change of control clause will limit the remaining agreement term to two years.
Greencoat Capital has been the investment manager of the renewable energy fund since its IPO in 2013.
During that period, it has delivered a total return to shareholders of around 150%, including 59.7p per share in dividends.