Ignitis scraps deal to buy 170-MW solar portfolio in Poland

• The renewables arm of Lithuanian power business Ignitis Grupe AB (VSE: IGN1L) has actually terminated an arrangement for the purchase of approximately 170 MW of under-development solar projects in Poland.

The conditional deal between Ignitis Renewables and also development and also investment administration business Sun Investment Group (SIG) was originally announced in September 2020 and has actually been ended upon mutual approval, the Lithuanian company stated on Monday. The factor for the action is that none of the projects in the portfolio did well in safeguarding Contracts for Difference (CfDs) in the latest Polish public auctions.

According to Ignitis, the investment return from the portfolio does not fit its target array for a high single-digit to low double-digit return. The Lithuanian group and also its renewables subsidiary will not incur any kind of losses after the termination.

The certain portfolio consists of projects in the southern voivodeships of Poland with a consolidated annual output that is anticipated to cover the intake of concerning 79,000 houses.

Today, Ignitis has 1.2 GW of installed capacity as well as a green generation portfolio of about 1.4 GW, including projects under construction and also development.