Law firm Howard Kennedy has acted on the launch of the Old Burlington Investments Renewable Energy Fund under the Enterprise Investment Scheme (EIS).
Howard Kennedy advised the fund’s investment adviser, Old Burlington Investments, a new venture backed by the firm’s existing client LW.
The fund aims to invest across a portfolio of high quality businesses within the renewable energy and energy efficiency sectors and is seeking to raise up to GBP10m by 30 December 2012.
The EIS provides investors, who are UK taxpayers, with attractive tax incentives when they invest in EIS companies, including the opportunity to claim an income tax rebate of 30 per cent, CGT free gains on sale, allowable loss relief and inheritance tax relief.
Brett Williams, managing partner of Old Burlington Investments, says: “In launching this fund, we are aiming to not only offer attractive returns for investors, but to create employment and stimulate the economy by also generating taxable revenues. Each company that the fund invests in will be required to demonstrate that the relevant renewable energy or energy efficiency business opportunity offers scope to generate stable government backed income from renewable obligation certificates, feed in tariffs or income with an equivalent duration and stability.”
Keith Lassman, corporate partner at Howard Kennedy, says: “This is the first of no doubt many tax shelter products from Old Burlington, a new entrant to the fast growing EIS community. We are delighted to be working with Old Burlington in this venture, and wish them the very best of luck in the fund raise.”