Acquisition

RNS Number : 5573T

HSBC Infrastructure Company Limited

30 September 2010

 



30 September 2010

HSBC Infrastructure Company Limited

Acquisition of an additional stake in Sussex Custodial Centre PFI project

HSBC Infrastructure Company Limited (the "Company"), the listed infrastructure investment company, announces today that it has completed the acquisition of an incremental 7.55% equity interest and 17.65% loan note interest in the Sussex Custodial Centre PFI project, taking its total equity interest in the project to 89.9% and loan note interest to 100%.  Total consideration for these interests is £1.1 million.

The price paid compares favourably with the valuation of the project in the Company's portfolio.  This acquisition brings to 16 the number of incremental acquisitions undertaken by the Company since launch.

Tony Roper, Director, HSBC Specialist Fund Management Limited, the Company's Investment Adviser, said: "This opportunity arose through a desire from our fellow shareholder in the project to crystallize a portion of their investment in this mature project, thus enhancing their financial flexibility to invest in additional public sector opportunities in this, their core market. We are pleased to acquire this additional stake in such a well managed project."

-ends-

M:Communications	[phone]
Ed Orlebar Andrew Benbow
HSBC Specialist Fund Management Limited	[phone]
Tony Roper Keith Pickard Sandra Lowe

HSBC Infrastructure Company Limited

The Company is a long term investor in infrastructure projects which are predominantly in their operating phase and yielding steady returns. It owns a portfolio of 34 infrastructure projects of which 33 are operational.  None of the investments in the portfolio is a demand-based income project (whose revenue is dependent on the amount of usage).

The Company is seeking further suitable investment opportunities in line with its strategy set out most recently in the Company's results announced on 25 May 2010.

Further details of the Company can be found from its web site www.hicl.hsbc.com.

 

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