Keppel Infrastructure Trust · SGX:A7RU
Keppel Infrastructure Trust — Merger or Acquisition (December 2023)
12 slides from Keppel Infrastructure Trust's merger presentation, Dec 21, 2023
Slide 1: Proposed Investment in a Solar Portfolio in Germany
Proposed Investment in a Solar Portfolio in Germany 21 December 2023
Slide 2: Important Notice
Important Notice The information contained in this presentation is for information purposes only and does not constitute or form part of, and should not be construed as, any offer or invitation to sell or issue or any solicitation of any offer or invitation to purchase or subscribe for any units (“U
Slide 3: Deepen renewables exposure with first solar portfolio investment
Deepen renewables exposure with first solar portfolio investment Attractive portfolio backed by 20-year lease contracts with German households ▪ To acquire a 45% stake in a German solar portfolio comprising > 60,000 bundled solar photovoltaic (PV) systems, including > 55,000 battery storage systems
Slide 4: Key terms of proposed investment
Key terms of proposed investment Opportunity to invest in the competitive solar energy segment 50% 50% JVCo 10% 90% > 60,000 bundled solar PV systems Key Terms Enpal GmbH, the largest provider of solar solutions to Seller residential homes in Germany Purchase Consideration €109m (S$159m)1 Enterprise
Slide 5: Key investment highlights
Key investment highlights 1 Attractive portfolio with highly 6 predictable 2 cash flows Residential Further KIT’s solar environmental installation targets fueled by price benefits Key Investment 5 Highlights 3 Diversification Portfolio of KIT's significantly portfolio 4 de-risked Accretive investmen
Slide 6: Attractive portfolio with highly predictable cash flows
1 Attractive portfolio with highly predictable cash flows 20-year lease contracts with German households providing fixed monthly rental fees Strong and reputable partners > 19.2 years Weighted Average Contract Expiry One of the fastest growing based on number of systems as of Dec 2023 energy company
Slide 7: Residential solar installation fueled by price benefits
2 Residential solar installation fueled by price benefits Further supported by Germany’s climate protection goals Highly beneficial for homeowners Supported by Germany’s to lease solar PV systems climate protection goals ▪ Save on electricity bills ▪ Germany to replace nuclear and fossil fuels with
Slide 8: Portfolio significantly de-risked
3 Portfolio significantly de-risked Supported by a diversified portfolio across Germany Battery and electric vehicle (EV) charging system as add-ons to bundled solar PV systems No refinancing No merchant risk and interest rate risks Portfolio not exposed to energy price fluctuations; revenue not lin
Slide 9: Accretive investment with attractive returns
4 Accretive investment with attractive returns Support DPU-accretion to Unitholders ▪ DPU and FFO boost with proposed investment: Funds from Operations DPU (cents)1,2 Gearing1 (FFO) (S$’m)1,2 1.7 pts 2.0% 13.0% 262.7 41.5% 3.82 3.893 39.8% 232.3 FY2022 Pro-forma Pro-forma FY2022 Pro-forma Pro-forma…
Slide 10: Contribute to an enlarged and diversified portfolio
5 Contribute to an enlarged and diversified portfolio KIT’s AUM to grow from $7.3b in FY 2022 to ~$8.4b1 post-investment Deepen renewables exposure Expand KIT’s portfolio in Germany; with first solar portfolio investment 10 22% of KIT’s AUM in Europe Diversification by Asset (%) Diversification by G
Slide 11: Further environmental targets with increased renewables exposure
6 Further environmental targets with increased renewables exposure Reduces KIT’s emission intensity and contribute to renewables target ▪ Progressing KIT’s decarbonisation roadmap, reducing carbon emission intensity by 4.8% from 2022’s level ▪ Increase KIT’s renewable energy portfolio to ~1.3GW > 60
Slide 12: Thank You
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