CMS advises SSE on £635m disposal of stake in two wind farms

CMS advises SSE on £635m disposal of stake in two wind farms

Charles Currier

CMS has advised SSE on the sale of a 49.9 per cent stake in its Stronelairg and Dunmaglass wind farms to Greencoat UK Wind Plc in partnership with a major UK pension fund whose investment is managed by Greencoat Capital.

The stakes equate to 160.6MW (megawatts) of capacity and the total consideration is £635 million, which implies an average valuation for the two wind farms of around £4m/MW. SSE will continue to operate both assets while future development rights are in line with equity share. The transaction is expected to complete by the end of March 2019.

The sales are consistent with SSE’s intention to create value through disposals of stakes in its growing portfolio of onshore and offshore wind farms, in line with its strategy to create value from development and operation, as well as ownership, of assets.

The CMS team was led by partners Charles Currier and Doug Land, and supported by Jennifer Louch, Susan Currie, Leo Mikros and Alicia Ingham (corporate); Louise Dalton and Thomas Forman (energy); Claire Wallis and Alan Hughes (real estate); Robin Hutchison and Kathryn Nolin (planning); Hanna Rannikmae and Toby Commander (IPF).

Mr Currier said: “We are pleased to have supported our longstanding client to deliver these strategic disposals, which form part of SSE’s strategy to create value from developing and operating assets, as well as owning them.”

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