Blackrock acquires three UK solar assets in £15m deal

Asset management firm Blackrock has acquired 13.5MW of UK solar assets from China-owned CTF Solar after agreeing a £15 million deal through its Kingfisher partnership with Lightsource BP.

Blackrock Real Assets has purchased Wormit Farm in Fife, Scotland (5MW); Stanton under Bardon Farm in Leicestershire, England (3.6MW); and Gretton in Winchcombe, Gloucestershire (4.9MW).

The acquisition was made through Blackrock’s Renewable Income UK Fund and Lightsource BP will be responsible for the asset management and long-term maintenance of all three sites, which are supported under the Renewables Obligation at a rate of 1.3 ROC/MWh.

Rory O’Connor, managing director and head of renewable power for Europe at Blackrock said the company is growing its UK solar portfolio.

He said: “Through our strategic partnership with Lightsource BP, we continue to build out our presence and portfolio of solar projects in the UK.”

Paul McCartie, group chief investment officer of Lightsource BP, added: “Kingfisher has now established itself as one of the most competitive acquisition platforms in the UK for utility scale solar assets. This latest transaction is a testament of our pricing compatibility and we hope it will encourage further interest from asset owners across the country.”

Last summer, solar developer Lightsource and Blackrock announced plans to build up a £1 billion solar portfolio over the next three years, having formed its strategic partnership, Kingfisher.

Lightsource rebranded as Lightsource BP after the oil and gas company BP purchased a 43 per cent stake in the company in December 2017 as part of $200 million deal.

Michael Harr, CTF’s general manager, said: “In Blackrock Real Assets’ partnership with Lightsource BP, CTF Solar is delighted to have found such a well-known and competent pair of hands for its UK-based solar park portfolio.

“A difficult economic environment marked by fluctuating exchange rates made the construction of the solar parks a challenging project, which has now been completed successfully.

“The three new solar parks are among the many installed in the UK by the CTIEC Group, of which CTF Solar is a member, and represent a further contribution by our group to the energy revolution in Europe and worldwide.”

Blackrock Real Assets manages more than $4.9 billion of equity assets globally, including investments in more than 40 solar projects in the UK, representing about 350MW of capacity.