16 July 2025

Foresight Solar Fund Limited

("Foresight Solar", "FSFL" or the "Company")

Share buyback programme extension

Foresight Solar, the fund investing in solar and battery storage assets to build income and growth, announces it has allocated up to a further £10 million to its ongoing share buyback programme, bringing the total to a potential £60 million, extending one of the renewables sector's largest initiatives relative to net asset value (NAV), and strengthening capital returns to shareholders.

Since repurchases began, FSFL has reacquired more than 50 million shares, delivering a cumulative 2.6 pence per share increase in NAV.

Operating performance

Preliminary information from the global portfolio indicates that strong solar resource contributed to electricity production more than 5% above budget in the second quarter of 2025. The Company will publish an overview of its operational performance in August, along with its Net Asset Value update.

Dividend target

The strong global operating performance, in combination with Foresight Solar's active power price hedging strategy, gives the board confidence in the 1.3x dividend cover target for this year.

During the second quarter, the investment manager continued to secure prices at levels accretive to dividend cover, including forward fixes and financial derivatives. Total contracted global revenues now stand at 88% for 2025, 77% for 2026, and 63% for 2027, with the average hedged power price for the UK portfolio at £85.48/MWh, £74.05/MWh and £74.51/MWh in each corresponding year.

Development pipeline

The latest round of grid capacity awards for battery storage projects in Spain have been announced. The Company has been allocated more than 100MW of capacity across five locations - three in Catalonia and two in the Balearic Islands - a significant step forward in the value creation opportunity from the development pipeline.

Alongside Muel, the 55MW solar project expected to reach ready-to-build status in Spain by the end of this year, the BESS projects demonstrate the proprietary development pipeline is nearing its goal of generating upside for investors as projects are de-risked from development to ready-to-build and to operations.

Divestments

In Australia, technical advisors finalised the necessary forecasting assessments to support bidder due diligence, and the sale process is moving ahead. Whilst this has taken time, the quality of information provided to the market is important to underpin portfolio value.

Good progress has been made in the divestment of the additional 75MW of operational solar projects, with advisors appointed and a live process underway in the market.

Regulatory environment

The government's update on the Review of Energy Market Arrangements (REMA) was welcome news for the sector. The decisions offer much-needed clarity to investors and consumers, support the renewable energy build-out necessary to meet Net Zero goals, and incentivise the deployment needed to future-proof the country's electricity network.

For more information, follow Foresight Solar on LinkedIn or contact:

LEI: 213800VO4O83JVSSOX33