Acquisition of a new investment
7 July 2015
HICL Infrastructure Company Limited
Acquisition of a new investment
HICL Infrastructure Company Limited, the listed infrastructure investment company advised by InfraRed Capital Partners Limited, is pleased to announce the acquisition of a 50% interest in the Southmead Hospital PFI Project (the "Project") from Carillion plc for a consideration of £87.8m. The consideration includes a future loan note subscription obligation of £48.7m, which will be paid by the Group in September 2015.
The Project is a £430m, 35 year concession to design, build, finance, operate and maintain an 800-bed acute hospital on a single site at Southmead in North Bristol, on behalf of the North Bristol NHS Trust. Construction is being undertaken by Carillion Construction Limited in two distinct phases. The first phase, comprising the construction of a 102,000m2 new acute hospital "Brunel" building, was completed in March 2014, with the hospital now open for use and fully operational since May 2014. The second phase, which includes the demolition of the old hospital site, is due for completion in 2016. The provision of hard facilities management services during the operational phase of the Project is subcontracted to Carillion Services Limited under a concession life contract.
The acquisition, which was funded by way of drawings under the Group's revolving credit facility (the "RCF"), is in line with the current valuation of similar UK infrastructure projects in the Group's portfolio. As a result of recent investment activity funded by the RCF, and net of proceeds from a recent disposal of the Fife Schools project, the Group has a current funding requirement of approximately £47m.
Tony Roper, Director, Infrastructure at InfraRed Capital Partners Limited said:
"We are delighted to further our long-standing relationship with Carillion with this acquisition, and we look forward to working with all stakeholders in the project to provide the building and associated services to the required contractual standards."
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Enquiries
InfraRed Capital Partners Limited +44 (0) 20 7484 1800
Tony Roper
Keith Pickard
Laurence Richardson
Tulchan Communications +44 (0) 20 7353 4200
Martha Walsh
Victoria Huxster
Canaccord Genuity Limited +44 (0) 20 7523 8000
Dominic Waters
Neil Brierley
Will Barnett
David Yovichic
HICL Infrastructure Company Limited
HICL Infrastructure Company Limited ("HICL" or the "Company", and together with its subsidiaries the "Group") is a long term investor in infrastructure projects which are predominantly in their operating phase and yielding steady returns. It was the first infrastructure investment company to be listed on the London Stock Exchange. With a current portfolio of 101 social and transportation infrastructure investments with predominantly availability-based income streams, it is seeking further suitable investment opportunities which fit its stated Investment Strategy.
Further details can be found on the HICL website, www.hicl.com.
Investment Adviser
The Investment Adviser to HICL is InfraRed Capital Partners Limited ("InfraRed") which has successfully invested in over 160 infrastructure projects since 1997. InfraRed is a leading international investment manager focused on infrastructure and real estate. It operates worldwide from offices in London, Hong Kong, New York, Paris, Seoul and Sydney. With over 100 professionals it manages in excess of USD 8bn of equity capital in multiple private and listed funds, primarily for institutional investors across the globe. InfraRed is authorised and regulated by the Financial Conduct Authority.
The infrastructure investment team at InfraRed consists of over 50 investment professionals, all with an infrastructure investment background and a broad range of relevant skills, including private equity, structured finance, construction, renewable energy and facilities management.
Further details can be found on InfraRed's website, www.ircp.com.
This information is provided by RNS
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