RNEW Ecofin U.s. Renewables Infrastructure Trust Plc

13 February 2024

ECOFIN U.S. RENEWABLES INFRASTRUCTURE TRUST PLC

(the "Company")

Q4 2023 Net Asset Value

Ecofin U.S. Renewables Infrastructure Trust PLC announces that its unaudited net asset value ("NAV") as at 31 December 2023 on a cum-income basis was $0.8521 per Ordinary Share (30 September 2023: $0.8910) or $117.7 million (30 September 2023: $123.0 million). 

The key contributors to the changes in NAV were:

·      a $1.3 million decrease ($0.0097 per Ordinary Share) in fair market value of investments due to the expected quarterly roll-off of distributable cash flows in the forward-looking discounted cash flow models. In accordance with the International Private Equity and Venture Capital Valuation (IPEV) Guidelines, the Company continued to apply a discounted cash flow ("DCF") valuation methodology for valuing the privately owned operating renewable assets in its portfolio.  The valuation was performed by an independent third-party valuation firm, Marshall & Stevens; and

·      a $3.7 million decrease ($0.0270 per Ordinary Share) in cash and accrued financial assets as quarterly income did not cover operating expenses, financing costs and dividend payments, primarily driven by lack of revenue at Whirlwind, slower than expected insurance claim proceeds related to Whirlwind, high corrective O&M costs at several solar sites, and increased insurance premiums across the portfolio.

As part of the Strategic Review announced on 8 September 2023 (RNS Number: 7853L), Marathon Capital ("Marathon") is acting as financial adviser in relation to a potential sale process for the Company's assets which, if successful, would result in an expected return of cash to shareholders, in connection with a winding up of the Company or similar transaction. The Company and Marathon continue to make progress and the Board will make further announcements when appropriate.

There can be no certainty as to the outcome of the Strategic Review or any asset sale process, nor whether any potential transaction or transactions arising could be successfully completed or the valuation at which it or they could be completed. In addition, should a transaction arise that would involve the sale of the Company's assets, it is expected that the implementation of such transaction will be conditional upon shareholder approval at a general meeting of the Company.

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Further information on the Company can be found on its website at https://uk.ecofininvest.com/funds/us-renewables-infrastructure-trust-plc/.

The Company's LEI is 2138004JUQUL9VKQWD21.