Drax Group has announced an agreed acquisition of Bluefield Solar Income Fund saying it is an attractive opportunity to grow its UK renewable generation business whilst being highly complementary to the Wider Drax Group’s existing operations and FlexGen portfolio.
Drax will gain a 0.9GW portfolio of solar and wind assets operating and under construction, plus a 2.9GW gross capacity development pipeline to be constructed across the next decade.
Drax said these would complement the Drax group’s existing portfolio of 2.2GW of FlexGen assets and developments and 2.6GW of biomass, creating a broader base of UK generation assets and associated earnings.
For the financial year ended 30 June 2025, BSIF generated underlying earnings of c.£95 million, EBITDA of c.£130 million and operating free cash flow of c.£118 million. BSIF will provide an opportunity to grow Drax’s EBITDA from renewables, offering greater predictability and visibility of cash flows from a large operational portfolio, reducing the group’s earnings risk from grid connection delays.
In March, Drax completed the acquisition of Flexitricity Limited, a UK-based optimiser of flexible energy assets.