NextEnergy European Solar Utility Plc plans an initial public offering in London to raise funds for the purchase of operating power projects in Europe, initially Spain and Italy.
The company, managed by NextEnergy Capital Ltd., seeks returns of 10 percent to 12 percent, it said in a statement.
Italy and Spain make up about 27 percent of the European Union’s installed solar capacity, with most plants in operation for more than two years, NextEnergy said in the statement. The top 10 companies account for 5 percent and 13 percent of the market share in the countries, respectively, it said.
“These markets are highly fragmented and do not operate at an optimum level,” said Michael Bonte-Friedheim, chief executive officer of NextEnergy Capital.
The fund is aiming for a dividend of 3 to 5 euro cents this year, growing to 8 cents in 2016 and nine cents in 2017.