Transaction marks development of a long-term strategic partnership and focus on clean energy
London, 27 August 2020: Beringea today announces that it has advised and arranged debt funding worth up to £1.8m to Solar Growth, a UK-focused solar energy generation company which specialises in the development, construction and operation of energy infrastructure assets.
The funding package, provided through Beringea’s advised company ProVen Legacy plc, has enabled Solar Growth to complete the acquisition of 39 commercial rooftop solar systems with a total capacity of 3,000 KWp. The solar systems were developed and previously managed by specialist solar developer Eden Sustainable Group. The solar systems have long-term energy sale agreements linked to the leases and, in most cases, also receive subsidies via the UK Government’s Feed-in Tariff programme.
Solar Growth is managed by Armstrong Capital Management Limited, an experienced London-based asset manager focused on the impact investment sector. Armstrong has substantial experience in backing and building businesses in low-carbon industries, particularly clean and renewable energy.
Solar Growth is part of a group of IHT trading companies managed by Armstrong, offering UK investors Business Property Relief eligible investments in a portfolio of energy trading projects, with a particular focus on UK solar. Solar Growth is targeting to provide shareholders with growth of up to 6% per annum and regular access to their capital.
This transaction is the first delivered by Beringea alongside Armstrong, as the two businesses look to develop a longer-term strategic partnership. The collaboration will expand the Beringea Business Property Relief offering through wider lending opportunities and opportunities in the solar sector enhancing the options for their investors.
Armstrong and Eden are also working together on funding of new build commercial solar projects as part of a new partnership with the installation of the first projects expected to commence in September 2020.
Mark Taylor, Partner at Beringea, the Lending Adviser to ProVen Legacy commented: “This transaction marks an important step in the growth of ProVen Legacy. Through backing Solar Growth, we are developing a valuable partnership with a leading solar energy business supported by a highly experienced impact investor, Armstrong. We look forward to building on the momentum developed through this initial investment as we seek to develop a long-term partnership with Armstrong.”
Commenting on the deal, Jonathan Hick, Investment Director at Armstrong, said: “We are delighted to have completed the acquisition and established new strategically important partnerships with Eden and Beringea. The new solar systems will offer greater diversity to the growing portfolio of projects in Solar Growth and, with long term contracted revenues, provide further mitigation from variable power prices in these uncertain times.”