IT Brief New Zealand logo
Technology news for New Zealand's largest enterprises
Story image

Mercury acquires stake in Tilt Renewables after poor wind conditions drive FY loss

By Julia Gabel
Mon 14 May 2018
FYI, this story is more than a year old

After posting a A$2.8 million loss for FY18, a 19.99% stake of Tilt Renewables has been sold to Mercury NZ.

Tilt Renewables’ FY18 loss compares to a $16.4 million profit the year before.

The Auckland-based wind and solar company cites below average wind conditions in New Zealand and Australia, in addition to the impact of constraints put in place by the market operator (AEMO) in Australia, as the main drivers of the loss.

In the announcement, the company adds, “The low wind conditions across Australia and New Zealand were largely experienced in the June 2017 quarter, with the impact partially offset by improved Australian production in the last three quarters of FY18.”

The company remains optimistic about the future of the renewable energy market in Australia and New Zealand, stating that renewable energy has cemented its position as the lowest costs option for replacing Australia’s ageing fleet of thermal generation.

“The details of the design of the proposed National Energy Guarantee are still to be worked through, however the discussion has moved towards market structures and technology options that support increased renewables penetration into the Australian electricity market,” the company states.

“Tilt Renewables is positioned to benefit from the transition with wind, solar, energy storage and other firming options now part of the development pipeline.”

Mercury chief executive Fraser Whineray echoes this statement: “Tilt is an established business operating power plants in a growing renewables market, with a quality development pipeline, good governance, and a strong management team with a proven track record.”

“Tilt has established a robust portfolio of operating wind farms in both Australia and New Zealand, as well as consented renewable generation projects which it can bring to market when conditions are right.”

Mercury NZ has reached an agreement with the Tauranga Electricity Consumer Trust to pick up a 19.99% stake in Tilt Renewables, agreeing to a total purchase price of $143,895,594.60 - or $2.30 per share.

Mercury has also secured an option to acquire the remaining approximately 6.81% of Tilt shares held by TECT at $2.30 per share, payable in cash.

Whineray adds, “The investment will allow Mercury to meaningfully participate in Australia’s accelerating transition to renewable energy sources,”

“For Mercury shareholders, this transaction is aligned with our signalled strategy for economic growth, and follows the exploration of other opportunities related to the electricity sector in Australia.”

“Together with its other shareholders, we look forward to being part of Tilt’s contribution to growing renewable electricity generation.”

The deal comes soon after Tilt Renewables appointed a new CEO, Deion Campbell, who took up the role in late January, following the resignation of Robert Farron.

Farron, who stepped down from the role in late December, led the company through its split from Trustpower in October 2016.

Since the demerger, Farron has led Tilt Renewables through a number of milestones, including expanding its development pipeline in Australia and New Zealand to over 3,000 MW of wind and solar projects.   

“It has been a privilege to lead such a great team of people,” Farron commented.

“Despite the current challenging investment environment for renewable energy, I am confident that the Company will continue to find innovative ways to participate in the clean energy transition that must inevitably occur in Australia and add value for shareholders.”

Campbell commented on his new role as chief executive, “I am excited by the opportunity and challenge of the CEO role and leading the Tilt Renewables team to deliver growth in a complex operating environment.”

“My wife and I are looking forward to making Melbourne home and enjoying the most liveable city in the world.”

Related stories
Top stories
Story image
DevOps
Deloitte expands cloud observability practice with Dynatrace
Deloitte is expanding its cloud observability practice, including DevOps principles, AI/ML, cloud complexity management and software engineering.
Story image
Contact Centre
Leveraging technology in contact centres to reduce attrition rates
Many organisations worldwide have accelerated DX to better respond to changing market drivers and business environments after the disruption of the pandemic.
Story image
Symbio
Symbio consolidates TNZI business to support APAC expansion
Symbio has recently announced the consolidation of its international business (TNZI) under the Symbio brand to support its Asia Pacific expansion strategy.
Story image
APAC
Top data and tech challenges for APAC banks - report
InterSystems’ new report finds that 87% of A/NZ banks experience frustrations and concerns in using their data to drive decision-making.
Story image
Microsoft
Microsoft, Cloudian partnership offers data center flexibility
Cloudian’s HyperStore object storage platform is now integrated and validated to work with Microsoft SQ Server 2022, offering more flexible and scalable data centers.
Story image
BYOD / Bring Your Own Device
How zero trust can lead the battle against ransomware
SecOps teams champion a zero trust strategy to support the fight against the escalating risk of cybercrime and help monitor threat actors across a network.
Story image
Cyber attacks
Devastating cyber attacks expected to hit energy sector
Energy executives anticipate life, property, and environment-compromising cyber attacks on the sector within the next two years.
Story image
Digital Transformation
Harnessing digital innovations to maximise loyalty programmes and improve CX
When it comes to the retail sector, merchants have never had access to so many different client touchpoints and data to understand their customers better.
Story image
GapMaps
GapMaps Live to improve brand decisions on physical locations
GapMaps has released its latest service GapMaps Live, giving more insights and features to help brands make better decisions about physical locations.
Darktrace
Threat actors are exploiting weaknesses in interconnected IT/OT ecosystems. Darktrace illuminates your entire business and takes targeted action to stop emerging attacks.
Link image
Story image
Identity and Access Management
The post-pandemic workforce requires secure IAM capabilities
HID Global discusses what identity and access management means for organisations in today's convoluted digital world.
Story image
SaaS
The paradox of change, and how to get around it
The business decision to technologically transform should not come from an IT department but from the business itself.
Story image
Ransomware
APAC organisations fail to disclose ransomware breaches
85% of organisations in APAC were breached by ransomware at least once in the past five years, but only 28% publicly disclosed the incident.
Story image
Transport
Third-party automotive apps bear significant privacy risks
Mobile applications for connected cars provide various features to make life easier for motorists, but they can also be a source of risk.
Story image
Data Protection
Information management capabilities to meet privacy requirements
Organisations with customers or operations across more than one country face a spate of new and proposed privacy and data protection laws.
Story image
Microsoft
Microsoft NZ announces initiative for local SaaS businesses
Microsoft has announced a new initiative, bringing together all of its tools to help local SaaS businesses build, sell and grow their companies at scale.
Story image
Alteryx
Alteryx releases updates, empowers data insights for enterprise
Alteryx has released new advancements designed to aid enterprises with cloud analytics, democratise insights and ensure data governance.
Story image
Hybrid Cloud
Barracuda expands cloud-native SASE platform
"The expansion of Barracuda's cloud-native SASE platform for hybrid deployment models and IIoT environments solves a number of challenges."
Story image
Cybersecurity
What every CISO must answer to enable a best-in-class security operations program
It has been widely reported recently that South Australian government employees have been the victims of a cyberattack.
Story image
Kubernetes
Sysdig unveils new Kubernetes troubleshooting and cloud innovations
Sysdig has introduced two new innovations that look to help bolster cloud services and simplify Kubernetes troubleshooting.
Exabeam
Find out how a behavioural analytics-driven approach can transform security operations with the new Exabeam commissioned Forrester study.
Link image
Story image
Data Center
Preventing downtime costs and damage with Distributed Infrastructure Management
Distributed Infrastructure Management (DIM) can often be a lifeline for many enterprises that work with highly critical ICT infrastructure and power sources.
Story image
Microsoft
Microsoft previews Power Platform website design offering
Microsoft has announced the preview of Power Pages, the fifth product in its Power Platform family, designed for low-code makers and professional developers.
Story image
Malware
Fortinet introduces self-learning AI in latest offering
Fortinet is introducing self-learning AI capabilities in its new network detection and response offering, FortiNDR.
Story image
Red Sift
Entrust expands strategic partnership with Red Sift
Entrust has expanded its strategic partnership with Red Sift to make it easier for businesses to adopt Brand Indicators for Message Identification (BIMI) standards for email identification and security.
Story image
Silver Peak
The path to an adaptive, modern network
Managing and securing the network looks different than it did just two years ago—especially given that most of these networks are made up of multi-generations of infrastructure stitched together over time.
Story image
Cybersecurity
Accenture - a collective security approach a driving factor for cyber resilience
With the approaching Davos World Economic Forum upon us, it is even more imperative to discuss the impact of cybersecurity on business operations leading into the future.
Story image
Sift
Sift shares crucial advice for preventing serious ATO breaches
Are you or your business struggling with Account Takeover Fraud (ATO)? One of the latest ebooks from Sift can provide readers with the tools and expertise to help launch them into the new era of account security.
Story image
Multi Cloud
Red Hat updates dev tools, empowers use of hybrid and multicloud
Red Hat has unveiled updates across its portfolio of developer tools, designed to help organisations build and deliver applications faster.
Story image
Sustainability
Aligned Data Centers increases sustainability-linked loan
Aligned Data Centers has increased its sustainability-linked loan from $375 million to $1.75 billion to speed up the next phase of its strategic growth.
Story image
DaaS
NetApp launches Spot PC, a new Desktop-as-a-Service solution
This is a new managed cloud DaaS solution with security, automation, observability and optimisation capabilities, designed for the needs of today.
Story image
Microsoft
Elevation of Privilege the top 2021 Microsoft vulnerability
BeyondTrust has released its 2022 Microsoft Vulnerabilities Report, finding that Elevation of Privilege is the top vulnerability category for the second consecutive year.
Story image
MEC
MEC spending for private cellular networks to reach $5.8b
A new ABI Research report finds the revenue for Multi Access Edge Compute (MEC) deployments for private cellular networks will reach USD$5.8 billion by 2030.
Story image
TUANZ
TUANZ to address rural connectivity at 2022 symposium
TUANZ is hosting the Rural Connectivity Symposium for the first time in person since 2019, providing a forum to discuss the state of rural connectivity.
Story image
NVIDIA
NVIDIA announces a spate of new innovations at Computex 2022
NVIDIA has announced its latest innovations in data center, robotics, content creation, and gaming in a virtual keynote address on the opening day of Computex 2022 in Taipei.
Story image
Artificial Intelligence
Gartner reveals top three tech trends for banks this year
Gartner says generative artificial intelligence, autonomic systems and privacy-enhancing computation are gaining traction in banking and investment services.
Story image
Informatica
Informatica, Oracle enter strategic global cloud partnership
Oracle named Informatica as a preferred partner for enterprise cloud data integration and data governance for data warehouse and lakehouse solutions on OCI. 
Story image
Ransomware
CERT NZ releases first Cyber Security Insights for 2022
CERT NZ has released Quarter One: Cyber Security Insights 2022, which offers an overview of reports about cybersecurity incidents affecting New Zealanders.
Story image
Rackspace
Skills shortages hold orgs back from capitalising on cloud 2.0
Organisations are becoming more comfortable with sophisticated 'cloud 2.0' technologies, even as they confront difficulties in hiring and retaining IT talent.
Story image
Surveillance
i-PRO releases smallest AI-based surveillance camera on the market
The new i-PRO mini network camera is now available, with a pocket-sized form factor and full AI analytics functionality.
Story image
Digital Signage
MAXHUB's Digital Signage range to bolster boardroom productivity
The new MAXHUB Digital Signage technology is purpose-built to make every kind of team meeting more effective.
Story image
Digital Transformation
Digital transformation increasing business complexities
A new survey suggests businesses must re-examine their digital transformation approach to better help employees adapt to change.
Story image
Infosys
Consumer relationships with digital services continues to change
Two years of pandemic-induced reliance on technology for work has altered our relationship with digital apps and services, new research has found.
Story image
Artificial Intelligence
Frost & Sullivan recognises Genesys as leader in new reports
Frost & Sullivan has recognised Genesys as a leader in the cloud contact centre market for its robust cloud and digital capabilities.