@Researcher101, I have used the ~A$2.5m / per MW as a back-of-the envelope valuation measure for the capacity of a wind portfolio. Last week, as an example, Innergex (a Canadian renewable company) paid C$315m for 131MW in France. This equates to a valuation of ~A$2.4m / per MW, with no development portfolio.
IFN has 550MW capacity, at ~A$2.5m per MW, this would value the company at A$1,375m deduct $550m in debt, implies ~A$800m in equity value vs. current market cap ~A$500m. So blue sky valuation is 60% higher, or ~A$1.00 per share (and this ignores the development portfolio).
In terms of MWh, this is the price being received for generation. I don't know what the prices are in France, but I know that IFN is benefitting from stronger electricity pooled prices in Australia (http://www.aemo.com.au/Electricity/Data/Price-and-Demand/Average-Price-Tables) + renewable energy certificate price (http://greenmarkets.com.au/resources/lgc-market-prices) such that FY16 will be a pretty strong year (enabling it pay down debt, commission new wind / solar farms etc.).
- Forums
- ASX - By Stock
- IFN
- Going for a run
Going for a run, page-30
-
-
- There are more pages in this discussion • 44 more messages in this thread...
You’re viewing a single post only. To view the entire thread just sign in or Join Now (FREE)
Featured News
Add IFN (ASX) to my watchlist
Currently unlisted public company.
The Watchlist
SER
STRATEGIC ENERGY RESOURCES LIMITED
David DeTata, Managing Director
David DeTata
Managing Director
SPONSORED BY The Market Online