Renewable energy group Greencoat UK Wind PLC (LSE:UKW) said there was an ‘attractive pipeline’ of potential onshore and offshore investments that would allow it to continue with its 'buy and build' strategy.
The comments were made alongside interim results and in the wake of two deals – the acquisitions of the Twentyshilling wind farm in Scotland and the purchase of a 12.5% stake in Hornsea 1, off the coast of eastern England.
The latter transaction will be completed in the current quarter at the cost of £400mln, Greencoat confirmed.
The group’s investments generated 2,175-gigawatt hours of electricity, which was 1% ahead of budget.
Turning to the financials, Greencoat generated net cash of £328.8mln in the six months ended June 30 allowing it to pay a 3.86p a share dividend, up 7.5% year on year. The net asset value, a benchmark for infrastructure companies, rose 15% to 153.6p.
Its gross assets were almost £4.5bn, while net debt, at £900mln, was 20% of gross assets, well below its 40% limit.
"We are pleased to report another solid performance, with continued strong cash generation as we deliver against our simple, low-risk strategy and build on our well-established track record,” said chairman Shonaid Jemmett-Page.