The Renewables Infrastructure Group (TRIG) will issue about 126.5 million of new ordinary shares at a price of 101 pence per share raising gross proceeds of approximately £127.75 million (US$199 million).
The proceeds from the placing will be used towards reducing the amount drawn under the group's acquisition facility used to partially fund the recent investment in a portfolio of six operational onshore wind projects in Scotland developed by Fred. Olsen Renewables Limited.
The new ordinary shares will, when issued, rank pari passu with the existing ordinary shares, including the right to receive the target dividend of 3.08p per ordinary share for the six months ending 30 June 2015. The placing is expected to be net asset value accretive for existing shareholders (net of fees and expenses associated with the placing).
Application has been made for all of the new shares to be admitted to the premium listing segment of the Official List of the Financial Conduct Authority (FCA) and to be admitted to trading on the London Stock Exchange's main market for listed securities.
Canaccord Genuity and Jefferies acted as joint sponsors and joint bookrunners.
Commenting on today's announcement, Helen Mahy, non-executive chairman of the Company, stated:
"We are very pleased with the results of the Placing, which follows the £110m raised in the Spring. We are particularly grateful for the strong support shown by our Shareholders and new investors. The market dynamics for the asset class remain strong, and our portfolio - with a net generating capacity of 658MW - provides strong asset diversification."