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Generating hydro-electric scheme in Scotland for sale

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A rare opportunity has arisen to acquire a working hydro-electric generation scheme in Scotland with more than 10 years of UK Government subsidy still to run.

Commissioned in December 2015 and located in Perthshire, the scheme operates at a high level of efficiency with generation in 2023 of 1,100 MWh, producing gross revenues of £492,053.

The assets were developed under leasehold arrangements with various landowners, with unexpired terms of over 30 years. The developer is a LLP formed for the sole purpose of developing the hydro scheme; accordingly, any transfer of ownership will be by an assignation of the leasehold rights held by the LLP.

The opportunity will reportedly appeal to family offices and institutional investors seeking quality revenues from a generating renewable-energy source, with associated ESG credentials, together with funds specialising in renewable generating assets.

Commercial proposals are sought to acquire the assets and interests of the developer/operator. Viewing is by arrangement, with initial expressions of interest made to Galbraith as agent.

An online data room containing detailed information regarding historic accounts, lease agreements, FiT, generation data and other relevant documents will open on 16 April and is subject to a non-disclosure agreement. Commercial proposals are sought by 7 May. A further process may follow to clarify matters regarding submitted offers.

Calum Innes, the Galbraith partner handling the sale, said:

“Hydro assets rarely come to the market and this scheme has a proven track record, with the benefit of more than a decade of financial subsidy still to run. We look forward to discussing this exciting opportunity with interested parties.”

Any interested parties should contact Mr Innes on calum.innes@galbraithgroup.com

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