SDCL Energy Efficiency Income Trust Plc (LSE:SEIT) will look for acquisitions. The Board of Directors (the "Board") of SDCL Energy Efficiency Income Trust plc announces a proposed Placing to raise approximately £100 million through an issue of new ordinary shares in the capital of the Company ("NewOrdinaryShares") (the "Placing") at a price expected to be in the range of 113 pence to 117 pence per New Ordinary Share (the "Placing Price"). The Company continues to see a number of 'organic' investment opportunities to make further or follow-on investments into projects or frameworks within its existing portfolio as well as specific asset management initiatives at an individual project level.
In addition to this, the Company has a broader pipeline of new investment opportunities that it is currently reviewing. Taken together the Company has a 12 month pipeline of potential investments totaling over £400 million, which includes over £175 million of organic follow-on opportunities and the remainder being new acquisition opportunities in various stages of due diligence. The Company will not acquire all of these opportunities; however, it requires new funding in order to continue discussions with vendors, complete its due diligence on the assets and agree appropriate terms. The size of these investments varies, with all the assets being in technologies, sectors, geographies and with return profiles that are consistent with the Company's Investment Policy.
The Company has established a proven track record of sourcing assets in advance of a fundraise. Accordingly, the Company is seeking to raise approximately £100 million to enable it to continue to diligence and acquire its current pipeline of opportunities over the next few months while maintaining an appropriate capital structure. The Company intends to fully invest the net proceeds of the Placing within the next 3-6 months.