Octopus Renewables Infrastructure Trust, the diversified renewables infrastructure company, has announced that investee company, Simply Blue Holdings, has signed a Share Subscription Agreement with Kansai Electric Power Company, Incorporated, to acquire an 80% stake in Simply Blue Energy OSW Ltd ('SBE OSW'), Simply Blue Group's offshore wind development arm.
The transaction follows the recent carve-out of Simply Blue's sustainable fuels business into a newly formed entity, Nova Scotia Fuels, and represents the next step in realising value from ORIT's investment in Simply Blue Group's platform business.
The transaction consideration is in line with ORIT's latest holding value of Simply Blue. Proceeds from the transaction will be used in part to repay the shareholder loan facility held by ORIT, with the residual value retained through ORIT's ongoing minority interest in Simply Blue.
Chris Gaydon, co-fund manager of Octopus Renewables Infrastructure Trust plc, commented: 'This is a solid outcome in what remains a challenging market for offshore wind developers. It reinforces our confidence in the Simply Blue team and reflects the strength of the partnership with Kansai who are ideally placed to move this platform forward.'
Source: Octopus Renewables Infrastructure Trust
