LGI (LGI) Trading update summary

Acquisition overview

• Binding agreement to acquire 100% of Maryrorough Solar Pty Ltd and Chinchilla Solar Pty Ltd, holding the Brigalow and Chinchilla operating solar farms, for $22.0m with no associated debt.

• Queensland assets have 54MW installed capacity and 42MW export capacity; consideration is ~$0.5m/MW, materially below comparable greenfield development cost.

• Completion anticipated on 9 October 2026; no shareholder approval or material conditions remain. Funding from cash at bank and the existing debt facility.

Earnings and operations

• Estimated annual EBITDA contribution of $2.1m–$4.0m at current electricity prices, dependent on revenue synergies and successful DACS implementation.

• FY27 EBITDA contribution estimated at ~$1.6m, assuming nine months of contribution.

• Both farms are 100% spot exposed; 2025 generation was 20,981 MWh at Chinchilla and 33,229 MWh at Brigalow.

• Operations and maintenance are intended to transition in-house; DACS at both sites is intended to optimise dispatch and price outcomes.

• Installed capacity exceeds export capacity; leases exceed 30 years. Preliminary BESS integration studies show early viability for consideration of future battery expansion.

Strategy and capital management

• Medium-term strategic pipeline rises to over 120MW, retaining the previously announced 80MW high-conviction pipeline.

• Adds solar to landfill-biogas generation, with DACS intended to optimise returns across energy and carbon markets; battery storage remains a potential enhancement.

• Assets expand access to energy trading end-markets and potential offtake partners, complementing existing operations in the Toowoomba and Western Downs regions.

• Net debt to EBITDA target remains below 2x through the portfolio build-out to over 120MW.