Strong asset performance sends Downing Renewables & Infrastructure Trust earnings above expectations


DORE acquired a UK portfolio of photovoltaic solar panels in March 2021. Image: DORE

Downing Renewables & Infrastructure Trust (DORE) – which entered the UK solar market in 2021 – posted investment operating profit 16.9% above expectations as it continues to seek opportunities in the UK United.

In its results for the period from incorporation on October 8, 2020 to December 31, 2021, DORE detailed how this increase in investment operating income was due to strong operational performance. Indeed, the portfolio’s production was 195 GWh, 4.7% above expectations.

DORE added that the current increases in electricity prices and inflation are creating “strong tailwinds” for the business, with DORE Chairman Hugh Little saying he is confident the business is ” well positioned to benefit from these factors as we enter a new phase of growth with anticipated capital raising and deployment.”

During the period, the company raised gross proceeds of £137.4 million, intending over time to increase in size through the issue of additional shares.

DORE also entered into two separate loan facility agreements through wholly owned subsidiaries during the period. One was a £25m revolving credit facility with Santander UK, while the other was a €43.5m (£35.8m) credit facility with Skandinaviska Enskilda Banken AB for its Swedish hydro assets.

DORE also invested £102m in new portfolio investments and a further £39.9m after the end of the year. The company now has a portfolio that is expected to generate 355 GWh of renewable electricity per year.

He is actively advancing what he said is several hundred million pounds worth of pipeline opportunities. These opportunities cover UK and Nordic hydro, wind, solar and batteries, Nordic utilities and critical infrastructure.

It follows the company’s completion of its first investment in the UK – the acquisition of a portfolio of solar PV assets – on March 19, 2021.

This portfolio consists of 13 ground-based sites located across mainland Britain totaling approximately 73 MWp, 28 commercial rooftop assets totaling approximately 10 MWp and seven residential rooftop portfolios in Northern Ireland totaling approximately 13 MWp.

Most ground-based PV assets have a long-term off-take agreement with Statkraft, DORE said.

Tom Williams, Partner and Head of Energy and Infrastructure at Downing LLP, said: “This has been an exceptional first period for DORE. The portfolio we acquired exceeded expectations both operationally and financially.

“Given the operating and financial result, favorable macro-economic conditions and strong deal flow, we believe the company is perfectly positioned for future growth and continued strong performance.”


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