Dart Renewables owns and operates a 360 kW hydro power scheme at the Totnes weir on the River Dart in South Devon. The hydro scheme was built in 2015 and was partly funded through a £1.3 million bond promoted by Triodos Bank.
The hydro scheme has now been operating successfully for over two years. In the 12 months to 31 January 2018 the scheme generated over 1,330 MWh of clean electricity – enough to power the equivalent of approximately 320 homes and save the equivalent of 600 tonnes of CO2.
The hydro scheme benefits from guaranteed index linked payments for the next 17 years under the government's Feed-In-Tariff scheme. In addition, around one third of the total forecast income over the term of the bonds is expected to come from the sale of clean electricity to a nearby secondary school and an aluminium foundry at mutually beneficial rates.
The hydro scheme incorporates a modern fish pass, allowing salmon and sea trout to move past the weir in order to reach historic spawning grounds on Dartmoor. Over time fish numbers should increase leading to ecological restoration of the whole river. Dart Renewables also provides tours and educational sessions on site for local school children.
The bond offer
Dart Renewables seeks to raise up to £1.8 million to repay the £1.3 million bond issued in 2015 and to repay outstanding directors' loans.
Before deciding to invest, you must read the Dart Renewables 2018 bond offer document. The offer document can be downloaded at the bottom of this page.
Dart Renewables bonds are eligible to be held in a Triodos Innovative Finance ISA (IFISA). The IFISA is a type of ISA that allows you to include investments in crowdfunded debt securities that have been made via crowdfunded offers and as with all ISAs, you receive interest tax-free.
To invest in Dart Renewables bonds through a Triodos IFISA after reading the bond offer document, select the 'Invest through IFISA' option. This selection will open a 2018/19 IFISA.
Transferring an existing ISA
If you want to invest by transferring an existing ISA to a Triodos IFISA you must first request the transfer. You can do this under 'Account' once you've become a registered user on the platform.
Learn more about the IFISA
Dart Renewables Limited
10 years, final repayment expected on 30 April 2028.
The bonds are expected to be repaid in eight equal annual instalments from 2021 to 2028.
5% gross per year, increasing in line with the annual retail price index each year from May 2019. Payable net of UK basic rate tax (unless held in a Triodos Innovative Finance ISA or a SIPP). Payment of interest and repayment of capital are not guaranteed.
In order to protect bondholders' interests, the bonds are secured by way of a first ranking legal charge over all the assets of the company. This asset security does not mean that capital or interest payments are guaranteed in any way.
Dart Renewables has the option to repay the bonds in full or in part, without penalty, at any time after three years.
Bonds are transferable but are not listed on any investment exchange which means that bondholders will have to find a willing buyer and agree a purchase price with them. Investors should be prepared to hold the bonds for their full 10-year term.
In order to protect bondholders' interests, restrictions on the company taking on further borrowing and making distributions to shareholders apply.
Bonds will be issued if at least £1,400,000 is raised. If not, then investors’ monies will be returned with no accrued interest.
Opens on 19 March 2018 to existing 2015 bondholders only and publicly on 9 April 2018. Closes on 11 May 2018 (unless fully subscribed earlier or if the directors, at their sole discretion, decide to extend the offer). Upon reaching the minimum raise, bond certificates will be issued to investors who have already subscribed. However, the offer will remain open until 11 May 2018 or once the target amount is reached. As a result of launching to existing 2015 bondholders first, some of the offer may be filled by the point of public launch on 9 April 2018.
Capital at risk warning
Past performance is not an indication of future performance. Capital is at risk and returns are not guaranteed.