Greencoat UK Wind extends IMA with Greencoat Capital

Renewable energy infrastructure investor Greencoat UK Wind said on Monday that it has revised and extended its investment management agreement with Greencoat Capital.

Greencoat UK Wind stated an additional tier had been added to the cash fee structure of the pair's agreement, which will see a reduction in the fee charged in respect of net asset value over £3.0bn to an amount equal to 0.7%, paid in quarterly installments and applied retrospectively.

The FTSE 250-listed firm also said it had struck a refreshed initial term of four years from 1 April, subject to a reduction to one year's notice if the shares trade below NAV for six months or more, on average, during the initial term.

Greencoat UK also noted the amendments included a revision to the change of control clause to limit the remaining term for these purposes to a maximum of two years.

Greencoat Capital has been the investment manager for UKW since its initial public offering in 2013. During that period, UKW has delivered a total return to shareholders of approximately 150% including 59.7p per share in dividends.

As of 0850 BST, Greencoat shares were down 0.70%% at 154.22p.

Reporting by Iain Gilbert at Sharecast.com