SDCL Energy Efficiency Income Trust (SEEIT) has raised £250 million in its latest equity issue.
The issue has received strong support from both institutional and retail investors and the board increased the target capital raise to £250 million from £175 million, after consultation with the investment Manager and the bookrunner, Jefferies International Limited.
The initial issue will result in the issue of 226,244,343 new ordinary shares in the capital of the company, at the issue price of 110.5 pence per share.
The proceeds will be used to invest in a broad pipeline of investment opportunities identified by the investment manager.
This will bring the market cap of SEEIT, which floated in December 2018, to over £1 billion.
Tony Roper, chairman of SDCL Energy Efficiency Income Trust said: “We are extremely grateful to all existing and new shareholders for the strong support they have shown. This is our largest placing to date and our first to include an intermediaries offer. The issue was once again significantly over-subscribed, reflecting the strength of opportunity in the energy efficiency sector and the confidence of our shareholders in our ability to deliver.”
Commenting on the SEEIT’s future plans, he explained: “The investment manager has identified a broad pipeline of exciting opportunities for investment, and we are confident that the proceeds of this raise will be invested in a timely and efficient manner into existing assets and new investments that further diversify and complement the company’s portfolio. This is a critical time for the energy efficiency sector, with the urgent need to tackle the climate crisis, in which it will play a key role by providing new opportunities to invest in cleaner, cheaper and more reliable energy.”