Victory Hill reveals launch of specialist global energy infrastructure investment trust on LSE
Global energy infrastructure specialist Victory Hill Capital Group is to float VH Global Sustainable Energy Opportunities plc (“the Company” or “GSEO”) on the London Stock Exchange in January 2021.
The closed-ended investment company will invest in a globally diversified portfolio of sustainable energy infrastructure investments that support the energy transition and are aligned with the United Nations’ Sustainable Development Goals.
It will seek to grow its net asset value (NAV) by investing in stable-yielding sustainable energy infrastructure investments that are in operation or “ready-to-build”. Projects must have the required grid access as well as land, planning, and regulatory consents to be considered investable. The portfolio will be diversified across different proven technologies and across geographies to reduce underlying risks.
Anthony Catachanas, Chief Executive Officer of Victory Hill, says: "The energy industry is undergoing a once-in-a-lifetime transformation. We are witnessing an increasingly decentralised approach to energy infrastructure development, and we at Victory Hill are committed to supporting the creation of a more sustainable global energy system. In order to do so, we actively participate in the energy transition and support the displacement of pollutive energy sources.
“We offer investors a chance to participate in this significant and deeply impactful opportunity. Global demand for energy sources has driven the growth of infrastructure capital spend over the last century and will continue to do so over the coming years. By supporting the sector, Victory Hill aims to deliver stable and superior returns to investors who are seeking income. We are uniquely positioned to deliver this via a globally diversified portfolio of energy infrastructure projects, all committed to building a more sustainable future for us all."
The Company will seek to generate stable returns, principally in the form of income distributions, and targets a total return on NAV of 10 per cent per annum once fully invested. GSEO aims to raise up to GBP400 million in the initial placing.
A prospectus is expected to be published in early January 2021, and the Company expects to complete the issue by early February 2021.
The investment adviser to the investment trust will be London-based Victory Hill Capital Advisors LLP, founded by an experienced team of energy financiers which previously worked for Mizuho Bank, a large project finance banking group. Numis Securities Limited (Numis) is acting as Sponsor and Sole Bookrunner in relation to the IPO.