Dove Renewables is a successful hydropower company looking to raise £1.1 million with a new bond offer on Triodos Bank's crowdfunding platform. The project has ecological benefits, generates enough clean energy to power 200 homes every year and is IFISA (Innovative Finance ISA) eligible.
The company is offering people the opportunity to invest in two operational hydro schemes which are delivering wide ecological benefits in terms of fish migration to the River Dove (Derbyshire) and River Teign (Devon) and providing enough clean electricity every year to power the equivalent of 200 homes. Both schemes benefit from the Government’s 20-year Feed in Tariff support mechanism for renewable energy.
The offer, which is only available on Triodos Bank's crowdfunding platform, has a minimum investment of £500. The 11-year bond will pay 5% gross interest per year index linked and can be held in a Triodos Innovative Finance ISA, where interest is paid tax free.
Dove Renewables owns a 100kW single turbine hydro scheme at Norbury Weir in the Peak District, which has been generating in line with forecast since its construction in 2016, as well as holding a 56% stake in the Sowton Weir scheme on Dartmoor, which began operating in 2013.
As part of the construction of the Norbury weir scheme, a new best practice fish pass was built. This allows salmon and trout to ascend the weir and reach historic spawning grounds. Since its introduction, there has been a large increase in fish passing the weir at Norbury, from almost zero in 2005 to well over 500 in 2017.
The money will be used to refinance existing higher cost bonds raised to finance construction in 2016. Over £300,000 has already been raised from existing 2016 bondholders who have elected to roll over their investment into the new bond offer.
Pete Kibel, Director at Dove Renewables, said: “We are pleased with the successful construction and operation of the two hydro schemes. Delivering clean electricity at the same time as helping native fish populations to recover in the River Dove is very rewarding. This just shows what hydropower can deliver for the UK and it’s great to be able to offer an opportunity for more investors to get involved.”
Dan Hird, Head of Corporate Finance at Triodos Bank, said: “Renewable energy bonds continue to be popular with our investor community. The team behind Dove Renewables are very experienced and we are pleased to be working with them again to offer an investment in a bond which will deliver 5% index linked interest, as well as positive environmental and ecological impacts in two communities.”
The bonds are open to anyone that registers on the Triodos crowdfunding site (www.triodoscrowdfunding.co.uk).
An investment in Dove Renewables is not covered by the Financial Services Compensation Scheme. The company’s ability to pay the interest and repay the bonds is not guaranteed and is dependent on the continued success of its business model. These bonds are unquoted securities with a fixed repayment date and although the bonds are transferable, investors should be aware that they may not be able to access their capital during the life of the bond.
The bonds are eligible to be held in an Innovative Finance ISA, which allows investors to earn interest tax-free within each personal ISA allowance (currently £20k).
Interest will increase in-line with the Retail Price Index from April 2020, providing an inflation protected return to investors.
Payment of interest and repayment of capital are not guaranteed and are dependent on the continued successful operation of Dove Renewables Limited. Like all ISAs the Innovative Finance ISA is subject to eligibility criteria.
NOTES TO EDITORS
The full offer document is available here.
For further information please contact:
T: 0117 921 311 0241
M : 07980601870
About Triodos Bank
Triodos Bank is a global pioneer in sustainable banking using the power of finance to invest in projects that are good for people and the planet. Triodos uses its €15.1 billion in assets to create social, environmental and cultural value in a transparent and sustainable way.
With UK operations based in Bristol, Triodos Bank has branches in the Netherlands, Belgium, Spain, Germany and an agency in France. Globally, Triodos Bank has microfinance projects in Central Asia and Eastern Europe, and is a founding member of the Global Alliance for Banking on Values (GABV), a worldwide network of 54 banks seeking to transform finance into a vehicle of positive influence.
This financial promotion has been issued and approved by the UK division of Triodos Bank NV (incorporated under the laws of the Netherlands with limited liability, registered in England and Wales BR3012). Authorised by the Dutch Central Bank and subject to limited regulation by the Financial Conduct Authority and Prudential Regulation Authority. Details about the extent of our regulation by the Financial Conduct Authority and Prudential Regulation Authority are available from us on request.
Investments offered on the crowdfunding platform are not readily realisable, which means that they may be difficult to sell, and you may not get back the full amount invested. Investments are not covered by the Financial Services Compensation Scheme (FSCS) and your capital is at risk and returns are not guaranteed. Repayment of capital and interest or payment of dividends will be dependent on the success of the organisation's business model and past performance isn’t a reliable indicator of future performance. You should always read the offer document in full before deciding whether or not to invest as it will cover risks specific to an individual investment. You can read more about the general risks associated with making these types of investments here. If you are unsure if any of these investments are right for you, you should contact an Independent Financial Adviser.