The transaction brings the solar generating capacity of funds that are managed by Greencoat to approximately 880MW


Greencoat agreed to acquire 156 MW of solar projects from BlackRock, Lightsource. (Credit: Pixabay/PublicDomainPictures)

UK-based asset management company Greencoat Capital has signed an agreement to acquire a solar portfolio with an output capacity of 156MW from BlackRock Real Assets and Lightsource bp.

The Greencoat Solar II has made the investment on behalf of several UK pension funds. The transaction brings the solar generating capacity of funds that are managed by Greencoat to approximately 880MW.

The power generated by the 156MW portfolio will supply enough electricity to around 45,000 households while offsetting 65,000 tonnes of carbon dioxide emissions per year.

The solar portfolio includes a 14.4MW Charity farm

The solar portfolio is largely accredited under Renewables Obligation Certificates (ROC) with an average of about 16 years of support remaining.

The 14.4MW Charity solar project is part of the portfolio and is backed through a Contract for Difference (CfD).

Greencoat Capital portfolio manager Karin Kaiser said: “This is a brilliant portfolio of proven operational assets that will provide our clients predictable cashflows with inflation protection over the long term, whilst contributing to the decarbonisation of the UK’s electricity sector.

“The acquisition takes installed solar capacity to over 880MW, across the Funds we manage, generating enough power across the year to power all the homes in a city the size of Manchester.

“This transaction delivers to investors in Greencoat Solar II long term secure income cash flows that over the long lifetime of these assets will be uncorrelated to general stock market factors.”

Through its partnership with Lightsource bp, BlackRock’s Global Renewable Power team acquired a 90% stake in the portfolio in 2017. Lightsource bp maintained a 10% stake in the portfolio.

Furthermore, Lightsource bp will continue to provide asset management and operational services for the portfolio.

In September last year, Greenbacker Renewable Energy purchased 80MW Iowa wind projects from BlackRock Real Assets’ Global Renewable Power platform.