DORE board agrees terms of cash acquisition

The Downing Renewables & Infrastructure Trust (DORE) board has agreed the terms of a cash acquisition by Bagnall Energy.

The offer for the trust comes at a 23.62% premium to closing share price.

DORE’s discount to NAV had widened from 3.6% at the start of January 2023 to 28.7% on the 19 June, the day before the offer was made.

The board said the negative impact of the external headwinds on the renewable energy infrastructure sector has at times disproportionately affected the trust’s discount, given DORE is one of the smallest investment trusts in the sector.

The persistent discount has limited DORE’s ability to issue new shares to achieve sufficient scale, the board added.

DORE’s directors have unanimously recommended the offer to shareholders, who will vote on the deal before it completes.

This article originally appeared in our sister publication, Portfolio Adviser