Tenaga Nasional Berhad via its wholly-owned subsidiary, Vantage RE Ltd. has completed its acquisition of a 100% stake in a 97.3MW onshore wind portfolio in the United Kingdom from a number of funds advised by Capital Dynamics, an independent global private asset management firm and one of the world’s leading clean energy investors, for a total consideration of GBP145.9 million (RM787.8 million)
This follows from the power producer’s maiden venture into the UK offshore wind market last October, as it plans to grow its global RE portfolio. The wind portfolio comprises operational onshore wind farms across 11 sites in the UK that were developed under either the Feed-in Tariff or Renewable Obligation Certificate subsidy regimes, which are expected to provide stable long-term revenues. Upon the completion of this acquisition, Vantage RE’s total operational RE capacity will grow by 23% from 433MW to 530MW. This additional onshore wind capacity will diversify Vantage RE’s existing RE technology mix and improve the balance of its portfolio’s electricity generation profile throughout the year.
Commenting on the landmark acquisition, President and Chief Executive Officer, Datuk Ir. Baharin Din said “TNB’s Sustainability Pathway is underpinned by our commitment to reduce 35% of our emissions intensity as well as 50% of our coal generation capacity by 2035.” Adding that the strategic acquisition of additional operational assets that are underpinned by subsidy regimes would also allow TNB to fully benefit from stable revenues and build financial resilience to weather the economic challenges aggravated by Covid-19.
Vian Davys, the Chief Executive Officer of Vantage RE concurs saying “This is a crucial milestone for Vantage RE and TNB in the build-up of internal capability in onshore wind.”
