NORD/LB has announced a £240 million refinancing package for Gresham House Energy Storage Fund’s (GRID’s) 1GW portfolio of 28 batteries throughout the UK.
GRID claims it currently owns and operates 20% of the UK’s batteries. The consortium refinancing the portfolio’s development includes NORD/LB, Santander, CBA, Rabobank and Aviva, with IDCM acting as financial advisor.
The batteries are all in operation. The funds will be used to undertake augmentation works on the sites that will increase battery capacity and unlock new revenue streams.
GRID has recently secured two long-term floor agreements with Statkraft Markets GmbH and Markel Bermuda Limited, covering 50% of the portfolio’s total future revenues. It said the agreements will help protect against market volatility and ensure a steady revenue stream for the portfolio.
“This refinancing, underpinned by long-term floor agreements, enables us to execute on our exciting growth plans whilst repositioning the business as lower risk,” said Ben Guest, Fund Manager of Gresham House Energy Storage Fund plc & Managing Director of Gresham House Energy Transition.
Burges Salmon acted as the consortium’s legal adviser on the deal, while Eversheds Sutherland acted as GRID’s legal adviser.