Glennmont Partners from Nuveen (“Glennmont”), one of the world’s leading fund managers focused exclusively on investing in clean energy infrastructure, has announced the successful divestment of its Margam Green Energy Plant (“Margam”) to Greencoat Capital LLP (“Greencoat”).
Margam is an operational 41.8MWe bioenergy plant located in South Wales near Port Talbot, which is fuelled by waste wood and generates renewable power. It benefits from accreditation for 1.4 ROCs per MWh and has 15 years of ROC life remaining.
The plant was originally acquired by Glennmont in 2015 during the construction phase and has been operational since 2019. Margam has been an important element of the local community, which is evidenced by the Margam twenty-year development fund for the benefit of the Neath Port Talbot County Borough Council.
The sale of Margam is a continuation of Glennmont’s successful divestments from its second Clean Energy platform, which raised €500m at inception. It follows the platform’s divestments of two wind portfolios in Italy and France last year.
CEO and co-founder at Glennmont, Joost Bergsma said:
“We are delighted to complete the sale of Margam to Greencoat, which represents a long-term investment in Welsh renewable energy infrastructure. We were pleased to work with Greencoat again following their purchase of the Sleaford plant in 2020.
“This latest transaction brings us a step closer to realising the full divestment of our second Clean Energy platform and underlines our expertise across the full investment cycle from deal structuring, to asset management and the final sale. As we continue to play a key role in the energy transition, we look forward to leveraging our expertise to identify and secure further value from assets.”
Evercore and Orrick acted as financial and legal advisors respectively. The technical advisors were Fichtner and KPMG and EY provided tax and accounting advice on the transaction. AFRY provided fuel due diligence.
In March 2021, Glennmont was acquired by Nuveen, the $1.3tn global asset manager, which will better enable Glennmont to drive its plans to raise further clean energy funds, and to target new investments in all major technologies – offshore wind, onshore wind and solar PV – in their core European markets as well as across Asia Pacific and the US.