SQN.L Regulatory News (SQN)

7 July 2015

SQN Asset Finance Income Fund Limited

Investment

£16m investment made in partnership with Triple Point

for two Isle of Wight based energy centres

SQN Asset Finance Income Fund Limited ("SQN"), the only diversified equipment leasing fund listed in the UK, is pleased to announce that it has invested a total of £16m as part of a larger package being led by private investment specialist Triple Point for the design, build and operation of two gas powered, combined heat and power, energy centres.

Located on the Isle of Wight, both 11 megawatt energy centres provide heat, carbon dioxide and electricity to the largest glasshouse tomato growing facility in the UK. The farm uses sophisticated technology to monitor and manage the growth of the plants which capture the carbon dioxide and use the heat generated to improve the volume and quality of the tomato crop. The surplus electricity generated is sold to the local electricity grid and provides standby generation capacity to local supply.

The project brings together Triple Point and SQN's unique skills and resources to deliver new financing into one of the Isle of Wight's largest employers providing the local economy with security and investment for years to come. 

Neil Roberts, Investment Manager of SQN Asset Finance Income Fund, commented:

"We're delighted to be working with Triple Point to further expand our significant involvement in funding specialist projects within the energy sector. The two energy centres on the Isle of Wight represent an attractive investment opportunity for SQN, which will provide capture of heat and carbon dioxide for use by the tomato plants to produce an outstanding crop, as well as long-term stable electricity generation in the Isle of Wight. The investment in these business essential, revenue producing assets fits SQN's investment criteria."

James Cranmer, Partner at Triple Point commented:

"We're thrilled to be working with SQN. Our complementary skills have enabled us to provide funding that will deliver real benefit to our investors and to the community on the Isle of Wight alike. At Triple Point we look for simple investments in real assets and these combined heat and power energy centres represent exactly this type of core infrastructure backed business. Today's announcement adds to our track record of successful private investment value creation whilst delivering sustainable growth for the business we fund".

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Notes to Editor

The Company invests in equipment lease and asset finance arrangements across a diverse portfolio of assets and industries predominantly in the UK and US. The Company focuses on business-essential, revenue-producing (or cost saving) equipment and other assets with high in-place value and long economic life relative to the investment term.

The Company's Investment Manager is SQN Capital Management, LLC, a Registered Investment Advisor with the United States Securities and Exchange Commission. The principals responsible for managing the portfolio are Jeremiah Silkowski and Neil Roberts.