IPO Boom in Renewables as Dividend Yield Beat Gilts: U.K. Credit
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Wind and solar companies are tapping the stock market for cash at the fastest pace in two years, led by three initial public offerings in London luring investors with dividends that beat returns on government bonds.
Clean-energy companies raised $3.8 billion in IPOs in the second-quarter, double the pace of the first three months of the year, according to data compiled by Bloomberg. The Renewables Infrastructure Group Ltd. raised 300 million pounds ($460 million) and began trading July 29. Its intention, to pay a 6 percent yield, compares with a 2.31 percent yield on the U.K. government’s 10-year gilt.