Aquila Energy Efficiency Trust has announced plans to raise £150M to invest in energy efficiency projects with corporates in the UK and Europe, via an initial public offering and listing on the London Stock Exchange.

It plans to offer efficiency to private and public sector counterparties, including small and medium-sized enterprises, industrials and municipalities. It will combine energy efficient lighting, smart building and metering services, cogeneration plants, HVAC systems, efficient boilers, PV and energy storage solutions, electric vehicles and EV  charging infrastructure. Investments will typically be asset backed contracts with a duration of between 5 and 15 years

Miriam Greenwood, chair of Aquila Energy Efficiency Trust, said: the company could offer “a diverse pipeline focused on proven technologies across the European Economic Area, the UK, and Switzerland.” She said the company would “assist corporates in stepping forward to play their part in addressing the major challenges facing the planet from climate change, supporting important and ambitious national targets across the region to reduce CO₂ emissions.”

Aquila is targeting a dividend of a minimum of 3.5 pence per share next year and 5 pence per Share in 2023. It  is targeting a total shareholder return of 7.5-9.5 % per year in the medium term.

Alex Betts, senior investment manager of Aquila Capital said: “The highly diverse €210M advanced pipeline that we have assembled for the fund is predicted to generate stable cash flows for shareholders and significant environmental impact.”

Roman Rosslenbroich, CEO of Aquila Capital said: “In our day-to-day interactions with investors we see a substantial and continuous appetite for European energy efficiency investments which are characterized by an attractive and stable risk return profile due to largely contractually fixed cash flows and very limited exposure to fluctuations in the financial markets.”

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