28 September 2023

Triple Point Energy Transition plc

("TENT" or the "Company" or, together with its subsidiaries, the "Group")

CAPITAL MARKETS EVENT, BATTERY STORAGE UPDATE AND NEW INVESTMENT

Capital Markets Event

Triple Point Energy Transition plc (ticker: TENT), the London Stock Exchange listed investment company focused on building a portfolio of diversified infrastructure investments that support the energy transition, will be hosting a Capital Markets Day today, at which analysts and investors will have the opportunity to hear from the Investment Manager, Triple Point Investment Management, and the Hydro-electric portfolio's Asset Manager, Green Highland Renewables, about the Group's portfolio in greater detail. The senior management team of the Investment Manager will provide further insight into the high conviction investments held within the portfolio, including a detailed review of the Hydro-electric and the Battery Energy Storage System ("BESS") Portfolios. The team will also highlight the prospects for the Company to create value for shareholders from its existing assets as well as showcasing examples from the pipeline and areas of focus going forward. TENT benefits from some of the highest levels of income protection in its peer group with 93% of cashflows over the next 13 years being underpinned by contracted revenues, as well as some of the lowest levels of volume generation risk, with limited exposure to construction risks. 

Battery Storage Update

The Investment Manager will discuss details relating to the announcement made on 31 July 2023 in respect of Virmati Energy Ltd (trading as "Field"), a battery storage counterparty, to whom the Group had committed a £45.6 million debt facility in March 2022. In this announcement the Company disclosed that Field had successfully raised a £200 million equity investment from DIF Capital Partners (via its DIF Infrastructure VII Fund) ("DIF"). Subsequent to this development, TENT and Field initiated discussions to assess the ongoing lending requirements of the borrower. Both parties arrived at a mutual decision to resize the facility to £37.0 million, secured over the assets of the 4 battery storage assets identified previously. This positive development provides TENT with an opportunity to deploy the balance of £8.6 million into higher returning pipeline opportunities, with the Company's current average pipeline return being 9.9%. The remaining amount committed to Field of £26.9 million will, as previously communicated, utilise the Company's revolving credit facility ("RCF"). The impact of this is not expected to materially impact TENT's earnings in FY24.

New Investment

TENT is also pleased to announce the provision of a £2.3 million receivables financing facility to Boxed Light Services Limited ("Boxed"). Boxed installs efficient Light Emitting Diode ("LED") lights and controls at Places for People Homes Limited, ("Places for People") sites, part of the Places for People group, one of the UK's leading social enterprises.

The facility provides receivables financing across 54 sites, with repayments including a fixed rate of interest being paid to the Company from an investment-grade counterparty, Places for People. The facility is the first deal of an identified future pipeline between the parties.

The decarbonisation of the UK's social housing sector, which includes organisations such as Places for People, is widely acknowledged to be a critical pillar of the ongoing transition to a low-carbon economy. The housing sector holds significant potential for reducing carbon emissions. This transaction therefore not only underscores TENT's commitment to the energy transition but also illustrates that the strategy of targeting niche, high-impact sectors has the potential for shareholder value creation. 

In addition to aiding the UK in meeting its climate pledge, the LEDs also enhance tenants' living environments, thus aligning with TENT's approach to both environmental and social impact.

Further to this investment, TENT, Boxed and Places for People have identified additional opportunities through a future pipeline of LED installations and will invest in further opportunities to roll-out the benefits of efficient lighting across Places for People's estate.

For further information about the Capital Markets Day, which can be attended in-person in the City or online, please contact Buchanan at tent@buchanancomms.co.uk.

For further information, please contact:

LEI: 213800UDP142E67X9X28

Further information on the Company can be found on its website: http://www.tpenergytransition.com/

NOTES:

The Company is an investment trust which aims to invest in assets that support the transition to a lower carbon, more efficient energy system and help the UK achieve Net Zero.

Since its IPO in October 2020, the Company has made the following investments and commitments:

·    Harvest and Glasshouse: provision of £21m of senior debt finance to two established combined heat and power ("CHP") assets, located on the Isle of Wight, supplying heat, electricity and carbon dioxide to the UK's largest tomato grower, APS Salads ("APS") - March 2021

·    Spark Steam: provision of £8m of senior debt finance to an established CHP asset in Teesside supplying APS, as well as a further power purchase agreement through a private wire arrangement with another food manufacturer - June 2021

·    Hydroelectric Portfolio (1): acquisition of six operational, Feed in Tariff ("FiT") accredited, "run of the river" hydroelectric power projects in Scotland, with total installed capacity of 4.1MW, for an aggregate consideration of £26.6m (excluding costs) - November 2021

·    Hydroelectric Portfolio (2): acquisition of a further three operational, FiT accredited, "run of the river" hydroelectric power projects in Scotland, with total installed capacity of 2.5MW, for an aggregate consideration of £19.6m (excluding costs) - December 2021

·    BESS Portfolio: commitment to provide a debt facility of £37m to a subsidiary of Virmati Energy Ltd (trading as "Field"), for the purposes of building a portfolio of four geographically diverse Battery Energy Storage System ("BESS") assets in the UK with a total capacity of 110MW - March 2022

·    Energy Efficient Lighting: Funding of c.£2.2m to a lighting solutions provider to install efficient lighting and controls at a leading logistics company - March 2023

·    Innova: Provision of a £5m short term development financing facility to Innova Renewables, building out a portfolio of Solar and BESS assets across the UK - March 2023

·    Energy Efficient Lighting: Funding of c.£2.3m to Boxed Light Services Limited to refinance efficient lighting and controls installed at Places for People Homes Limited - September 2023

The Investment Manager is Triple Point Investment Management LLP ("Triple Point") which is authorised and regulated by the Financial Conduct Authority. Triple Point manages private, institutional, and public capital, and has a proven track record of investment in Energy Efficiency and decentralised energy projects.

Following its IPO on 19 October 2020, the Company was admitted to trading on the Premium Segment of the Main Market of the London Stock Exchange on 28 October 2022. The Company was also awarded the London Stock Exchange's Green Economy Mark.