Foresight Solar Fund has delivered on the first stages of its divestment program with the sale of a 50 percent stake of its Lorca portfolio to a specialist fund advised by EB-SIM, the sustainable investment arm of Evangelische Bank, for €26.9 million ($29 million)
The Lorca portfolio includes three Spanish solar farms, which generated 138 gigawatt hours of electricity in the first nine months of 2023.
According to Foresight Solar Fund, the value of the sale was at a 21 percent premium to the assets’ third quarter holding value and represented an exit internal rate of return of 12.1 percent on funds invested to date on the stake sold.
“This sale further demonstrates that, despite the fact FSFL is trading at a significant discount to NAV, renewable energy assets like these remain in high demand in the market,” stated Foresight Solar Fund. “This, therefore, provides validation, based on market prices, for the company’s valuation at year-end.”