Are NAV increases on renewable infrastructure trusts here to stay?

JLEN posted “blow out” update

At the beginning of this week (9 May) the JLEN Environmental Assets trust flagged that its Q1 NAV is likely to be 13-15% higher than the end of last year.

The trust, and a number of its peers, are sitting on double digit premiums as they benefit from, among other things, a rise in power prices and inflation expectations. But are further NAV increases on the cards for these companies? The jury is out. Mick Gilligan, head of managed portfolio services at Killik, labelled the update from the £670.4m JLEN trust as a "blow out" and noted that it was "materially higher than most of the peer group". He cited Bluefield Solar's NAV increase of 3.3% over the first quarter of the year and Greencoat UK Wind's 11.8% increase as examples. However,...