3 Feb 2023 07:00
3 February 2023
Aquila European Renewables plc
Net Asset Value and Factsheet - December 2022
Aquila European Renewables plc (the Company), a Euro income fund, announces its unaudited net asset value ("NAV") as at 31 December 2022, on a cum-income basis, was EUR 451,650,417 or 110.64 cents per ordinary share. This represents a NAV total return of 1.6% per Ordinary Share over the quarter.
Key drivers of the NAV movement in Q4 2022:
· Increase in short-term CPI forecasts (+2.5 cents per Ordinary Share), Eurozone inflation assumption 6.2% in 2023.
· Marginal decrease in power price forecasts due to mild winter expectations and gas storage levels and implementation of clawback taxes (-0.5 cents per Ordinary Share).
· Sagres refinancing, updated tax assumptions for Tesla, completion of Jaén (+2.2 cents per Ordinary Share).
· Increase in risk-free rates partially offset by a reduction in construction risk premia, which resulted in an increase in the discount rate by 30 bps to 7.2% (-3.5 cents per Ordinary Share).
A sensitivity of NAV against discount rates, inflation and power prices can be found below.
Assumption
| Impact on NAV per Ordinary Share
| |
Discount rate | +0.5% | -5 cents |
-0.5% | + 5 cents | |
Inflation | +0.5% | +5 cents |
-0.5% | -4 cents | |
Power price | +10.0% | +11 cents |
-10.0% | -11 cents | |
Discount rate | +0.5% | +12 cents |
Inflation | +0.5% | |
Power price | +10.0% | |
Further details will shortly be available in the quarterly factsheet on the Company's website at: https://www.aquila-european-renewables.com.
For further details contact:
For further details contact:
Media contacts
Edelman Smithfield
Ged Brumby 07540-412301
Kanayo Agwunobi 07581-010560
Sponsor, Broker and Placing Agent
Numis Securities 020 7260 1000
Tod Davis
David Benda
Vicki Paine
NOTES
The objective of Aquila European Renewables plc is to provide investors with an attractive long-term, income-based return in EUR through a diversified portfolio of wind, solar PV and hydropower investments across continental Europe and Ireland. Through the diversification of generation technologies, the seasonal production patterns of these asset types complement each other to balance the cash flow, while the geographic diversification serves to reduce exposure to one single energy market. In addition, a balance is maintained between government supported revenues, fixed price power purchase agreements and market power price risk.
www.aquila-european-renewables.com
LEI: 213800UKH1TZIC9ZRP41
Aquila Euro. (AERI)
Aquila Euro. (AERS)