Listed wind farms owner Tilt Renewables Ltd (NZX & ASX: TLT) is in front of superannuation funds and large institutions in Australia seeking fresh funds for a new $600 million Victorian wind farm development.
The Street Talk column of the Australian Financial Review understood Tilt has mandated investment banks Citi and Forsyth Barr to drum up investor support for a proposed $300 M equity raising, which would be enacted should Tilt Renewables win the right to build the Dundonnell wind farm.
Street Talk said investor sources claimed brokers had been pitching the raising to institutional investors, as part of Tilt's efforts to shore up its funding package.
The deal would come in August should Tilt be mandated to construct the Victorian wind farm.
The Financial Review said the potential equity deal was expected to attract big institutional investors seeking to boost their green investment programmes, including the likes of industry funds UniSuper and AustralianSuper, and funds that already have an interest in the listed Tilt.
The newspaper said Tilt was one of a handful of parties tendering to build the 330 megawatt Dundonnell wind farm, which could power about 155,000 homes. Construction was expected to create 200 jobs for more than two years in western Victoria.
Tilt was believed to be one of the leading contenders for a tender expected to be known in July or August.
The Financial Review said the potential deal also comes soon after energy company Mercury NZ Ltd (NZX & ASX: MCY) took a 19.99% stake in Tilt and an option to acquire another 6.8% of the company by the end of the year.
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