NextEnergy Solar Sells 50 MW Solar Farm in Strategic Asset Disposal

NextEnergy Solar Fund has completed the sale of its 50 MW Staughton solar farm in Bedfordshire to the NextPower UK ESG Fund (NPUK), managed by NextEnergy Capital (NEC), for £30.3 million. This transaction forms part of NextEnergy Solar Fund's strategy to recycle capital and optimize its financial resources.

Operational since 2019, Staughton is a subsidy-free utility-scale solar asset. The sale proceeds will be used to reduce short-term debt via the fund's revolving credit facilities.

The NPUK Fund, a closed-ended private fund with a 10-year term, now has a portfolio capacity of 565 MW across 12 assets. This includes 178 MW of operational solar projects and co-located energy storage in the UK, as well as 387 MW under construction or ready-to-build. Additional acquisitions are expected in the near term.

Spyros Sfantos, Investment Director UK at NextEnergy Capital, highlighted the growth of NPUK since its launch in August 2022, stating:

“NPUK’s total capacity has grown to an impressive 565 MW since its launch in August 2022, we expect to see further growth in NPUK’s total capacity through the end of the year and into 2025 through further acquisitions. NPUK remains on track to outperform its return and dividend targets, with dividends to date being significantly above the target.”

In its interim results for the six months ending 30 September 2024, NextEnergy Solar Fund reported a net asset value (NAV) per ordinary share of 97.8p, down from 104.7p as of 31 March 2024. The fund generated £45 million in income during the period, compared to £50 million in the same period the previous year.