GLIL will acquire 49% stake in the portfolio comprising over 250MW of wind and solar projects
GLIL Infrastructure (GLIL), an alternative investment fund with more than £1.8bn ($2.3bn) of committed capital, has agreed to acquire Cubico Sustainable Investments’ (Cubico) minority stake in UK operational wind and solar portfolio.
Under the terms of the deal, GLIL will acquire 49% equity stake in the portfolio that comprises over 250MW of wind and solar projects at 18 sites. The portfolio has been operational for more than three years. Financial terms of the deal were undisclosed.
Backed by Ontario Teachers’ Pension Plan and PSP Investments, Cubico will provide long-term management services for the day-to-day operation of the assets.
Cubico EMEA head David Swindin said: “This is a strategically significant transaction for Cubico and we are very pleased to have entered into this partnership for our UK operational portfolio.
“We look forward to working with GLIL and continuing to manage the portfolio to the highest standards as renewables play an increasingly important role in UK and global energy systems.”
The deal with Cubico represents GLIL’s seventh investment in the UK
The deal represents a seventh investment by GLIL, which seeks to make direct investments in core UK infrastructure.
GLIL, which is supported by a number of UK Local Government Pension Funds, earlier made investments is projects including Anglian Water, Clyde Windfarm, Forth Ports and Rock Rail.
GLIL Infrastructure investment director Jonathan Ord said: “We see renewable energy assets as integral to UK power generation and a critical part of the country’s future infrastructure.
“Working with the team at Cubico and its portfolio of quality assets will help us support the growth and decarbonisation of the economy and provide the stable, long-term, inflation-linked returns that our members demand.”
In May 2018, SSE signed an agreement to sell an additional 14.9% stake in Clyde Windfarm (Scotland), owner of the original 349.6MW Clyde windfarm and the 172.8MW Clyde Extension Windfarm, to Greencoat UK Wind (UKW) and GLIL Infrastructure for £202m ($265.7m).