Directors' Recommended Share Price Review

  • Posted: 15 Feb 2019

Directors’ Recommended Share Price increases following positive developments.

Thrive Renewables exists to enable people to invest in sustainable energy. The Directors of the company are proud of our diverse shareholder community. This gives us a particular responsibility to provide all our shareholders with an indication of the value of the company – the Directors’ Recommended Share Price (DRSP). The DRSP represents today’s value of projected future dividends from our portfolio of operational assets and investments.

We evaluate the DRSP when material events occur. In October 2018 , the Directors undertook a review of the valuation of the company, resulting in a 25p increase in the DRSP due to a combination of factors which had a positive effect. These included an extension of the lease duration at Haverigg II, an increase in wholesale electricity prices, lowering the cost of our debt and an increase in the value of operational renewable energy projects in the UK.

The sale of two wind farms, announced on 15 February , has provided evidence of an increase in the value of our operational assets, resulting in a 5p increase in the DRSP to £2.65 per share.

Also announced on that date was a proposed interim 40p dividend per share to be paid in April 2019. If the proposed dividend is agreed at the General Meeting on 12 March, we expect the DRSP to reduce to around £2.25 when it is paid out, assuming there are no other significant changes in the Company and marketplace. The Thrive Renewables Annual General Meeting (AGM) will be held as usual in June. Invitations and information on proposed annual dividends will be sent to shareholders in May.

Changes to the DRSP are always published on our website. Below you will find a graph which shows the movements in the DRSP since February 2018, including projected future changes illustrating the impact of the proposed interim dividend on the DRSP.