TIDMGSEO
RNS Number : 4206A
VH Global Sustainable Energy Oppt.
24 May 2023
VH Global Sustainable Energy Opportunities plc
24 May 2023
Interim dividend
The Board of Directors of the Company announced an interim
dividend of 1.38p per share with respect to the period from 1
January 2023 to 31 March 2023, in line with the dividend target for
2023.
Income from the portfolio has remained robust during the quarter
and the dividend is 1.3x covered. The Company's operational assets
benefit from over 90% contracted revenues, which means weakening of
power prices has had limited impact on revenues. As further
projects achieve operational status, the dividend coverage is
expected to strengthen.
31 March 2023 Net Asset Value (NAV)
The NAV increased from 108.2p per share as at 31 December 2022
to 112.3p per share as at 31 March
2022, a 3.8% increase. The movements in the NAV during the
quarter include:
Pence per
share
Net Asset Value per share as at 31 December
2022 108.2
----------
Dividend paid during the quarter (1.38)
----------
Fund expenses incurred during the quarter (0.4)
----------
Movement in fair value of assets 6.0
----------
Movement in foreign exchange (0.1)
----------
Net Asset Value per share as at 31 March 2023 112.3
----------
Movement in the fair value of assets
The net positive NAV movement is primarily driven by:
-- During the quarter, discount rates reduced by 109 bps on
average across the portfolio due to
lower risk-free rates and a drop in sector risk premia. Average
discount rates for operational
assets at 31 March 2023 were 7.3% in the US, 6.6% in Australia,
9.4% for the Brazilian hydro facility and 12.1% for the Brazilian
solar PV assets. The UK assets are under construction and therefore
currently held at cost;
-- Strong operational performance in cash generative assets,
notably in the Brazilian hydro facility which has resulted in an
upward revaluation;
-- The Australian solar PV asset has continued its strong
performance due to the persistent supply-demand energy imbalance in
the country as it moves away from a predominantly coal-baseload
power system towards a more intermittent renewable-based system;
and
-- An additional Brazilian solar site became operational during
the period resulting in a change in
valuation basis from cost to fair value; 10 solar sites in
Brazil are now operational.
Foreign exchange
During the quarter, GBP strengthened versus the USD and AUD but
weakened against the BRL foreign exchange. A net strengthening of
GBP against the portfolio currencies resulted in a marginal
decrease in foreign exchange. The Company has a mandate to hedge
the short-term distributions from investments from local currency
to GBP.
Leverage
Total leverage of the Company is 2% of NAV, which only includes
asset level leverage limited to the US terminal storage assets. The
Company does not currently employ short-term leverage at the fund
level. The Company's target total return of 10% is on an unlevered
basis.
The factsheet will be available on the Company's website.
www.vh-gseo.com
For further information, please contact:
Edelman Smithfield (PR Adviser)
Ged Brumby + 44 (0)7540 412 301
Kanayo Agwunobi +44 (0)758 101 0560
Victory Hill Capital Partners LLP (Investment Manager)
Navin Chauhan info@victory-hill.com
Numis (Corporate Broker)
David Benda +44 (0)20 7260 1000
Matt Goss
Apex Fund and Corporate Services (UK) Limited (Company
Secretary)
Limor Gonen ukfundcosec@apexgroup.com
About Victory Hill Capital Partners LLP
Victory Hill Capital Partners LLP ("Victory Hill") is authorised
and regulated by the Financial Conduct authority (FRN 961570).
Victory Hill is based in London and was founded in May 2020 by
an experienced team of energy financiers that have spun-out of a
large established global project finance banking group. The team
have an established track record built over six years while working
together in their previous roles and participating in over $37.1bn
in sustainable energy project transaction values, generating over
24.2 per cent. equity returns. In addition, the team has also
participated in more than $200bn in transaction values across 91
conventional and renewable energy-related transactions in over 30
jurisdictions worldwide, throughout their individual careers. The
average experience per individual is 22 years of relevant energy
finance experience.
The Victory Hill team deploys its experience across different
financial disciplines in order to assess investments holistically
from multiple points of view. The firm pursues operational
stability and well-designed corporate governance to generate
sustainable positive returns for investors. It focuses on
supporting and accelerating the Energy Transition and the
attainment of the UN Sustainable Development Goals.
Victory Hill is a signatory of the United Nations Principles for
Responsible Investing (UN PRI), the United Nations Global Compact
(UN GC) and is a formal supporter of the Financial Stability
Board's Task-Force on Climate-related Disclosures (TCFD).
This information is provided by RNS, the news service of the
London Stock Exchange. RNS is approved by the Financial Conduct
Authority to act as a Primary Information Provider in the United
Kingdom. Terms and conditions relating to the use and distribution
of this information may apply. For further information, please
contact rns@lseg.com or visit www.rns.com.
RNS may use your IP address to confirm compliance with the terms
and conditions, to analyse how you engage with the information
contained in this communication, and to share such analysis on an
anonymised basis with others as part of our commercial services.
For further information about how RNS and the London Stock Exchange
use the personal data you provide us, please see our Privacy
Policy.
END
MSCDZGZKLFDGFZM
(END) Dow Jones Newswires
May 24, 2023 02:00 ET (06:00 GMT)
Vh Global Sustainable En... (LSE:GSEO)
Historical Stock Chart
From Sep 2024 to Oct 2024
Vh Global Sustainable En... (LSE:GSEO)
Historical Stock Chart
From Oct 2023 to Oct 2024