TRIG to acquire 213MW Swedish wind farm from Arise and Sydvastanvind

The Renewables Infrastructure Group (TRIG), a UK-based investment company, has signed an agreement to acquire the 212.85MW Jädraås wind farm in Sweden from Arise and Sydvastanvind, for €207m.

TRIG stated that with the acquisition, its portfolio capacity will increase to 1.32GW. The Jädraås wind farm is located near Ockelbo, north of Stockholm. The company is using its acquisition facility to finance the deal and it is expected to be completed in March.

The wind farm is powered by 66 of Vestas’ V-112 turbines with 3.225MW capacity each and has been in operation since May 2013. It is supported by an all-inclusive long term operations and maintenance contract. And, upon the deal’s completion, it will represent about 11% of TRIG’s portfolio on a committed investment basis.

InfraRed Capital Partners infrastructure director Richard Crawford said: “Jädraås is our second investment in Sweden and represents an expansion of our presence in the Nordic market.

“With power price hedging in place for most of expected generation for the next 5 years and attractive unlevered returns, this acquisition complements our existing portfolio very well, whilst increasing our exposure to one of Europe’s most attractive regions for renewable energy development.”

Last December, the company acquired 75% stake in the 229.1MW Ersträsk Wind Farm also in Sweden from Enercon Independent Power Producer.

When the deal was announced, the wind farm was still under construction and will include 26 of Enercon E-103 turbines with 2.35MW capacity each, which is the phase 1. Phase 2 will include 42 Enercon E-126 turbines with 4.0MW capacity each.

Phase 1 is expected to become operational in the first quart of this year and Phase 2 in the first quarter of next year.

At that time, the company said: “Renewables in Sweden receive the benefit of a 15-year green certificate, but the substantial majority of revenues come from power sales.

“Ersträsk has already entered into hedging agreements for fixing power prices for the next 2 years for all of Phase 1 and a portion of Phase 2 expected generation and intends to utilise hedges on an ongoing basis to manage exposure to power price variations.”