Renewable Energy Generation Ltd Potential ZDP Shares (9631G)

TIDMWIND

RNS Number : 9631G

Renewable Energy Generation Ltd

10 March 2015

Renewable Energy Generation Limited

Potential Zero Dividend Preference Share Issue

The Board of Renewable Energy Generation Limited ("REG" or the "Company") is actively considering an issue of Zero Dividend Preference shares ("ZDP Shares") as a financing option to augment its existing cash resources, which are in excess of GBP20 million, along with current non-recourse project financing from the banking sector.

The purpose of the new finance will be to expedite construction of projects within its wind development portfolio in order that they can be delivered under the Renewables Obligation regime.

If the Board determines to proceed with the issue of ZDP Shares it will not aim to raise more than GBP30 million, with the terms of the ZDP Shares being consistent with current market parameters. The intention of the issue will be to deliver enhanced returns for ordinary shareholders.

A further update will be provided in due course, after discussions with shareholders and investors. A decision to issue the ZDP Shares would be subject to the approval of existing ordinary shareholders in a general meeting.

 
 Enquiries: 
 
 Renewable Energy Generation 
  Limited 
  Andrew Whalley, Chief Executive 
  Officer 
  David Crockford, Finance Director 
  Ian Lawrence, Communications          +44 (0)1483 901 
  Manager                                796 
 
 Cenkos (Placing Agent and Financial 
  Adviser) 
  Will Rogers 
  Sapna Shah                            +44 (0)20 7397 
  Bobbie Hilliam                         8900 
 
 Smith & Williamson Corporate 
  Finance Limited 
  (Nominated Adviser)                   +44 (0)117 376 
  Martyn Fraser                          2213

Notes to editors

Renewable Energy Generation Ltd (REG) is an AIM listed renewable energy group. Its main business is the development, construction and operation of wind farms and generating power from refined used cooking oil.

REG Windpower: based in Truro, Bath and Guildford, UK, it currently operates 11 wind projects in Cambridgeshire, Cornwall, County Durham, Yorkshire, Lancashire, Cumbria and Gwynedd, with a total capacity of 34.7MW as well as 3 projects on behalf of its partner BlackRock totalling 28MW. REG has around 200MW of projects in the planning system awaiting consent.

REG Bio-Power UK Ltd: based in Nottingham, UK: it operates 26MW of electricity generation plant powered by fuel recovered from used cooking oil.

Headquartered in Jersey, REG was admitted to trading on AIM, a market operated by the London Stock Exchange, in May 2005 (AIM: WIND).

This information is provided by RNS

The company news service from the London Stock Exchange

END

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