Detail: SEIT has acquired an additional 15% interest in Primary Energy, a 298MW portfolio of recycled energy and cogeneration projects at steel mills located in Indiana, for a cash consideration of $36m. This takes SEIT’s total interest in the portfolio to 65% and under the agreed terms it could be further increased.

Conclusions: The follow-on implies a valuation of $240m for the portfolio, against $220m at the time of the original acquisition in February last year. However, a 10-year extension of the offtake agreement at the Ironside plant has been agreed in the interim. On the financing side, the acquisition has been funded from October’s placing proceeds, noting that the $150m Onyx solar and storage project acquisition (announced on 24/12/20) has yet to complete.