Read on to learn how our Scottish renewable energy team has helped to secure the future of Greenio Limited.
Established in 2013, Greenio Limited specialise in the installation and maintenance of renewable energy heating and electrical systems. Based in Lincolnshire, its Managing Director Anna Wooster was referred to Close Brothers Asset Finance with a unique challenge.
For the past four years, Greenio has managed a portfolio of 18 biomass boilers across five sites. Using these boilers, the biomass systems provide renewable energy to their end users.
All of the biomass boilers were owned by an investor, who had spread their investment across five SPV limited companies. The investor informed Anna that they wanted to exit their investment on 13 of the boilers at £37,000 per boiler – a total of £481,000.
Looking for a financial solution to enable this, Anna approached broker Steve Coldicot from Clear Asset Finance. Clear Asset Finance is a trusted intermediary between funders like Close Brothers and UK businesses. As such, Steve introduced Anna to Jim Leamon - one of Close Brothers’ experienced Area Sales Managers.
Eager to offer a finance solution, Jim looked at the income and operation contracts which secured the biomass boilers’ serviceability. Unfortunately, he discovered that these were in very poor shape and were not fit to be used as the foundation of our securities.
Jim worked hard with the investor, Anna, and the contractual end users to formally terminate all of the unsuitable existing contracts. He then helped Greenio to put suitable, robust new contracts in place which Close Brothers could take security over. This ensured a safe transaction for both Close Brothers and Greenio.
As a result, we were pleased to be able to provide Greenio with finance which secured guaranteed index-linked income for the business for the next 15 years. The gross value of which is worth over £5 million.
Overall, we were able to finance 13 assets at a £481,000 facility over 60 months.
Considering the deal, Anna from Greenio commented: “I really feel that Jim from Close Brothers worked hard to put together the best finance solution for Greenio. When I was introduced by my broker, I was reassured by Jim’s extensive experience of providing finance to the renewable energy industry. This deal allows us to move our business forward in a sustainable manner and enables us to grow year-on-year, leading the way within the industry.”
Jim Leamon commented: “This is a deal that I think only Close Brothers would have had the vision, appetite, determination and patience to pull together.”