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(Sharecast News) - Greencoat Renewables announced on Tuesday that it has agreed to sell a portfolio of six Irish onshore wind assets for 156m, comprising 139m in upfront proceeds and 17m in deferred consideration over 2026 and 2027.
The 115.7MW disposal, expected to close in June, formed part of the AIM-traded company's broader strategy to optimise its portfolio and reduce gearing.
Proceeds from the sale would be used to repay the company's revolving credit facility, cutting pro forma gearing from 54% to around 51%.
The sale included full ownership of five assets and a 50% stake in a sixth, and is expected to be net asset value accretive.
Following the transaction, the proportion of contracted revenues in the company's five-year outlook would increase by two percentage points.
The buyer was HitecVision, which would partner with Greencoat on the jointly-held wind farm to explore future value creation opportunities.
Greencoat said the latest disposal brought total asset sale proceeds to over 200m in the past six months, following the earlier sale of the Kokkoneva wind farm in Finland.
It also confirmed it was in advanced talks to sell a minority stake in its 50MW Andella wind farm in Spain, with proceeds to be similarly directed toward debt reduction.
"This transaction reflects the disciplined execution of our capital allocation strategy, unlocking value from our portfolio and further enhancing our financial strength," said Paul O'Donnell, partner at Schroders Greencoat.
"In the last six months, we have successfully executed disposals that total more than 200m of gross proceeds, delivering value above our original investment."
O'Donnell said the company was continuing to see "significant opportunities" in the growing European renewable market for Greencoat Renewables to create value for its shareholders.
"As well as providing future balance sheet flexibility, this latest transaction underpins the opportunity to create increasing value from older assets including re-contracting PPAs and options for hybridisation and repowering."
At 1350 BST, shares in Greencoat Renewables were up 0.79% at 0.77p.
Reporting by Josh White for Sharecast.com.