What is NextEnergy Renewables (NREN)?

  • A differentiated renewables infrastructure investment company investing in renewable infrastructure assets and new clean energy transition technology, helping to tackle climate change whilst reducing the global use and reliance on fossil fuels.

  • Provides unique access to private platforms through:

    1. NextEnergy Capital Group

    2. Third party managers

    3. Co-investment opportunities

  • Targeting attractive long-term regular income and capital appreciation

  • Proposed diversified global portfolio of multiple specialist renewable and energy transition infrastructure assets

  • A strong and proven investment manager track record

NREN is a differentiated renewables investment company that aims to capture the most attractive private renewables and energy transition infrastructure investment opportunities globally. NREN’s ambition is to increase the global renewable energy supply through established clean energies available today, whilst taking exposure to new key transformative energy transition infrastructure (such as hydrogen and battery storage) to help tackle climate change whilst reducing the global use and reliance on fossil fuels.

NREN investments will be sourced through NextEnergy Capital Group (“NextEnergy Group” or “NEC”) and other high performing managers’ platforms, co-investments and direct acquisitions.

NREN intends to provide investors with attractive long-term regular income and capital appreciation. An investment in NREN will enable investors to gain exposure to a diversified portfolio of renewable energy projects and exciting energy transition infrastructure through investing in and alongside (by way of co-investment) private investment platforms managed by some of the world’s leading renewable energy investment managers. It is expected that over time the portfolio will be equally weighted between funds managed by NextEnergy Group, third party managed funds and direct investments (by way of co-investment).

NREN will be managed by NextEnergy Capital IM Limited, a global specialist investment manager in the renewable energy sector and part of NextEnergy Group which has an established track record of managing both public and private investment platforms, and over $2.3bn in renewable energy focused AuM.

NREN Target

  • £300m

    Target Capital Rise

  • 5.5%*

    Target Dividend Yield

    * First year 3.0%

  • 9-11%

    Target Total Return

Your capital is at risk

NREN ESG Ambitions

  • NextEnergy Group uses the UN Sustainable Development Goals (“SDGs”) as a global framework to define the ESG elements of its investment strategy. This policy will be fully integrated into NREN’s investment process and ESG strategy

  • NREN is committed to reporting on the CO2 equivalent emission reduction associated with the fund’s clean energy generation, using a proven and transparent methodology consistent with other NEC funds.

  • To this extent, NREN continue to work with the Macquarie's Green Investment Group (GIG) to independently measure and verify these ESG reporting metrics. GIG and Bloomberg NEF (BNEF) have developed a Carbon Score tool to standardise climate-related data and assess carbon impact and have been awarded the ESG data Initiative of the Year.

NREN Key Features

  • Portfolio Strategy: Over time, NREN will target an equally split balanced portfolio:

    • 1/3 of portfolio invested in NEC managed Funds;

    • 1/3 invested in third party Funds;

    • 1/3 direct investment in co-investments.

  • Asset Diversification: NREN aims to have a diverse mix of renewable energy projects across its portfolio as well as investments in exciting energy transition infrastructure.

  • Global Diversification: NREN aims to invest in the above asset opportunities globally, with the flexibility to select the most attractive investment opportunities in the most attractive markets in the world.

  • Seed assets: IPO proceeds to be rapidly invested in pre-identified funds managed by NEC.

  • Additional pipeline: Additional third party vehicles under immediate analysis for full deployment within 9-12 months of IPO.

  • Target dividends: Paid quarterly from June 2021, targeting 3% p.a. in calendar year 2021, 5.5% p.a. in calendar year 2022, progressive policy thereafter.

  • Target total return: NREN expects to deliver unlevered, net of fees and expenses, shareholder returns of 9-11% p.a. via stable and growing dividend income and NAV appreciation.

  • ESG:

    • NREN will only select investments that meet the requirement of NEC Group’s Sustainable Investment Policy. Based on this policy, NREN will undertake NEC’s rigorous ESG due diligence on each investment and is committed to report on the fund’s ESG performance in accordance with the UN Sustainable Development Goals framework and the EU Sustainable Finance Disclosure Regulation.

    • NREN is expected to qualify for the London Stock Exchange's Green Economy Mark at Admission, which recognises companies that derive 50% or more of their total annual revenues from products and services that contribute to the global green economy, as well as being a Guernsey Green Fund

  • Track record: Since 2007, NEC has launched and managed five private and listed funds, raising AuM of over $2.3Bn.

  • Experienced fund manager: NEC has a large team of some 190 professionals globally with significant experience across renewable sectors and geographies - extensive expertise in execution, DD capabilities, access to opportunities, co-investments and monitoring of investments.

  • Low base fee structure: Competitive fee structure based on NAV:

    • 0.5% p.a. standard fee;

    • 0.1% p.a. admin fee charge for NEC funds;

    • 0.7% p.a. fee for direct and co-investments.

    • Targeting annual Investment Management fee of c.0.4%.

  • Performance fees: Aligning shareholder interests with the investment manager to incentivise performance:

    • 15% above 8% total investor return

    • No catch-up, paid in two tranches, 2nd in shares and with lookback.

    * These are target returns and not forecasts. Returns are expressed as a % return based on the issue price of £1.00 per share. Please read the risks outlined in the prospectus for more detail.

Team

We recommend that you read these key documents, paying particular attention to the risks before you decide to invest. If you have any doubts about the suitability of an investment you should seek professional advice.

Media Coverage

NREN has been featured in a wide range of publications, including:

How to invest

About NextEnergy Capital Group:

  • A leading player in the global renewable energy sector

  • Has launched four institutional funds, one of which is a listed entity

  • Extensive experience in identifying attractive investment strategies, structure market-friendly vehicles and launching competitive private funds

  • Over $2.3bn AUM raised

  • 190 team members with offices in UK, Italy, India and USA

  • Value-creation track record across time, geographies and vehicles

NEC Group ESG Credentials

Visit NextEnergy Capital

Contact

For investor enquires:

Email: ir@nextenergyrenewables.com

Phone: +44 (0) 203 746 0700

For media enquires:

Camarco (Financial Communications Agency)

020 3757 4980

Owen Roberts

Eddie Livingstone-Learmonth