Half-year Report

PREMIER GLOBAL INFRASTRUCTURE TRUST PLC

Half Year Report
for the six months to 30 June 2019



Shareholder Information

SHARE PRICE AND PERFORMANCE INFORMATION
The Ordinary Shares and Zero Dividend Preference Shares are listed on the London Stock Exchange. Information about the Company and that of the other investment company managed by Premier, the Acorn Income Fund Limited, including current share prices can be obtained directly from:

www.premierfunds.co.uk

Contact Premier on 01483 306 090, or by e mail to [e-mail].

SHARE DEALING
Shares can be purchased through a stockbroker and share trading platforms.

SHARE REGISTER ENQUIRIES
The register for the Ordinary Shares and Zero Dividend Preference Shares is maintained by Link Asset Services. In the event of queries regarding your holding, please contact the Registrar on 0871 664 0300 (calls cost 12p per minute plus network extras, lines are open Monday to Friday 9.00 a.m. to 5.30 p.m.); overseas [phone]; or e-mail [e-mail]. Changes of name and/or address must be notified in writing to the Registrar.

STATEMENT REGARDING NON-MAINSTREAM INVESTMENT PRODUCTS
The Company currently conducts its affairs so that both the Ordinary Shares issued by the Company and the Zero Dividend Preference Shares issued by the Company’s wholly-owned subsidiary PGIT Securities 2020 PLC can be recommended by IFAs to retail investors in accordance with the FCA’s rules in relation to non-mainstream investment products and intends to continue to do so for the foreseeable future.

The Ordinary Shares and the Zero Dividend Preference Shares fall outside the restrictions which apply to non-mainstream investment products because they are excluded securities.

A member of the Association of Investment Companies.

Investment Objectives

The investment objectives of Premier Global Infrastructure Trust PLC are to achieve a high income from, and to realise long term growth in the capital value of, its portfolio. The Company seeks to achieve these objectives by investing principally in the equity and equity-related securities of companies operating primarily in the energy and water sectors, as well as other infrastructure investments.

Contents

Investment Objectives	1
Company Highlights	2-3
Chairman’s Statement	4-5
Investment Managers’ Report	6-9
Investment Portfolio	10
Group Income Statement	11
Consolidated and Company
Balance Sheets	12
Consolidated and Company Statement of Changes in Equity	13
Consolidated and Company Cashflow Statements	14
Notes to the Half Year Report	15-17
Interim Management Report	18-19
Directors and Advisers	20

Company Highlights
for the six months to 30 June 2019

	Six months to	Year ended
	30 June	31 December
	2019	2018
Total Return Performance
Total Assets Total Return 1	12.4%	(11.0%)
FTSE Global Core Infrastructure 50/50 Total Return Index (GBP) 2	18.9%	2.7%
FTSE All-World Index Total Return (GBP) 2	16.8%	(3.5%)
FTSE All-Share Index Total Return (GBP) 2	12.9%	(9.5%)
Ongoing charges 3	1.7%	1.7%

	Six months to	Year ended
	30 June	31 December
	2019	2018	% change
Ordinary Share Returns
Net Asset Value per Ordinary Share (cum income) 4	136.79p	112.55p	21.5%
Mid-market price per Ordinary Share	117.50p	102.00p	15.2%
Discount to Net Asset Value	(14.1%)	(9.4%)
Net Asset Value Total Return 5	26.3%	(25.4%)
Share Price Total Return 2	20.3%	(23.3%)

	Six months to	Six months to
	30 June	30 June
	2019	2018	% change
Returns and Dividends
Revenue Return per Ordinary Share	6.21p	5.48p	13.3%
Net Dividends declared per Ordinary Share	5.00p	5.00p	0.0%
Historic Full Year Dividends
Dividends paid in respect of the year to:	31 December	31 December
	2018	2017	% change
Dividend	10.20p	10.00p	2.0%

	Six months to	Year ended
	30 June	31 December
	2019	2018	% change
Zero Dividend Preference Share Returns
Net Asset Value per Zero Dividend Preference share 4	117.60p	114.95p	2.3%
Mid-market price per Zero Dividend Preference share	121.00p	116.50p	3.9%
Premium to Net Asset Value	2.9%	1.3%

	As at
	30 June
	2019
Hurdle Rates
Ordinary Shares
Hurdle rate to return the 30 June 2019 share price of 117.50p at 30 November 2020 6	0.10%
Zero Dividend Preference Shares
Hurdle rate to return the redemption share price for the 2020 ZDPs of 125.6519p at 30 November 2020 7	(29.6%)

	Six months to	Year ended
	30 June	31 December
	2019	2018	% change
Balance Sheet
Gross Assets less Current Liabilities
(excluding Zero Dividend Preference Shares)	£53.1m	£48.0m	10.5%*
Zero Dividend Preference Shares	£(28.3)m	£(27.7)m	2.3%*
Equity Shareholders’ funds*	£24.7m*	£20.4m*	21.1%*
Gearing on Ordinary Shares 8	2.14x	2.36x
Zero Dividend Preference share cover (non-cumulative) 9	1.65x	1.49x

1 Based on opening and closing total assets plus dividends marked “ex-dividend” within the period. Source: Premier Fund Managers Limited (“PFM Ltd”).

2 Source: Bloomberg.

3 Ongoing charges have been based on the Company’s management fees and other operating expenses as a percentage of average gross assets less current liabilities over the period.

4 Articles of Association basis.

5 Based on opening and closing NAVs with dividends marked “ex-dividend” within the period reinvested. Source: PFM Ltd.

6 The Hurdle Rate is the compound rate of growth of the total assets required in each year to meet the Ordinary Share price at 30 June 2019. Source: JP Morgan Cazenove.

7 The Hurdle Rate is the compound rate that the total assets could decline each year until the predetermined redemption date, for shareholders still to receive the predetermined redemption price. Source: JP Morgan Cazenove.

8 Based on Gross Assets less Current Liabilities divided by Equity Shareholders’ Funds at the end of each year.

9 Non-cumulative cover = Gross assets at period end, less estimated wind up costs, less management charges to capital divided by final repayment value of the ZDP shares. Source: JP Morgan Cazenove.

*may not sum due to rounding.

Chairman’s Statement
for the six months to 30 June 2019

Performance
The first half of 2019 has been a more positive period for the Premier Global Infrastructure Trust (“PGIT”/”the Company”). Markets generally have been strong, particularly in the US, and with developed markets for the most part continuing the trend of out-performing emerging markets.

I am pleased to report that PGIT’s gross assets’ total return, which measures the total return of the Company’s portfolio, including income received and taking into account fees and costs, was 12.4% thus recovering much of last year’s loss. However it was disappointing that this was below the FTSE Global Core Infrastructure 50/50 Total Return Index (GBP adjusted) which returned 18.9% against which we measure the Company’s performance. The wider market, represented by the FTSE All-World Index (GBP adjusted) gained 16.8%.

Overview of the period
Equity markets have been moving upwards on the back of falling interest rates. However corporate earnings have not managed to keep pace with share price gains and thus equities have become more expensive. Furthermore markets seem to have ignored the gradually deteriorating economic conditions, in particular the ongoing trade tensions between the US and China which have acted to dampen activity, and the economic imbalances within Europe which continue to worsen.

The global infrastructure sector has been a popular investment destination over the first half of the year, and has been one of the main beneficiaries of the changed interest rate outlook. As I note above, this has stretched valuations further. At the start of the year, the FTSE Global Core Infrastructure 50/50 Total Return Index traded on a price / earnings (“P/E”) multiple of 17.7x. By the end of June, this had expanded to 22.2x, so in essence the index performance can be put down to market movements rather than investment fundamentals.

The Managers categorise the portfolio into three sectors: yield equities, growth equities, and yieldcos & investment companies. Further details of these can be found in the Managers’ Report. The first and third categories have gained along with markets, however the growth equities element, which contains most of the Company’s emerging market positions, has under-performed, and this has accounted like last year for the portfolio’s underperformance against markets.

The growth equities sector has continued to see very strong earnings and dividend growth, yet trades on a deeply discounted rating. The Managers remain committed to this sector and intend to maintain these holdings both for diversification and for the long term value opportunity they represent. It must however be recognised that these holdings, predominantly in emerging markets, can have volatile share prices, often not reflecting underlying performance.

Finally, the long term saga that is Brexit drags on. The Managers, in response to the deteriorating sentiment around the UK situation, removed all currency hedges in early April, which has enabled the portfolio to benefit from the decline in sterling over the second quarter of the year. The absolute exposure to GBP-denominated companies was also reduced, although this was partly in response to heightened perceived political risks resulting from talk of potential renationalisation of UK infrastructure assets.

Earnings and Dividends
The half year has seen a healthy level of income generated by the portfolio, with the revenue return per ordinary share increasing by 13.3%.

On 25 April 2019 the Company announced its first quarterly dividend of 2.50p per ordinary share in respect of 2019, which was paid on 28 June 2019.

On 25 July 2019 the Company announced a second interim dividend also of 2.50p which together brings the dividends for the first half of the year to 5.00p, unchanged on the first half of 2018. This will be paid on 27 September 2019 with the ordinary shares to be marked ex-dividend on 22 August 2019.

Board Development
Kasia Robinski retired from the Board at the AGM, and I would again like to thank her for her service.

Melville Trimble was appointed to the Board at the Company’s AGM on 25 April, and I would like to take this opportunity to welcome him as Chairman of the Audit Committee. Melville brings a wealth of experience, and particular expertise in investment companies.

Outlook

It was pleasing to see the NAV on an upward trajectory during the first six months, and the second half has also started well.

The Managers are confident that the strong underlying earnings growth in portfolio companies seen in 2018 can be repeated in 2019. Consequently they believe that the outlook for the Company’s income account is robust.

As I discussed in my 2018 statement, on a fundamental basis, the Board believes that Brexit is of relatively low importance to the Company. However a satisfactory resolution could lead to an appreciation in sterling which would have a negative valuation impact on the portfolio. At the time of writing, however, the outlook is unclear and a solution appears far off.

There are a number of potentially destabilising forces at work in the global economy. Tensions in the Middle East, particularly relations between the US, UK and Iran, are increasing, although somewhat surprisingly, to date this has had a limited effect on commodities markets. Meanwhile the direction of travel in the standoff between the US and China remains unclear. However if the relationship improves between these two countries there is the potential for a beneficial effect on markets globally.

Gillian Nott OBE
Chairman
29 July 2019

Investment Managers’ Report
for the six months to 30 June 2019

Market review
Following the sharp dip in the final quarter of 2018, markets have rebounded in the first half of 2019. The US was again at the forefront of performance, with other developed markets such as Europe and Australia also performing very well. The UK market was a laggard although it remained in positive territory.

Yields on government bonds fell consistently over the period. Many European markets saw 10 year yields fall below zero during the first half of 2019. Higher risk markets, such as Italy, saw the sharpest declines given that they had the highest starting levels. Even in its difficult economic position, this positive rate backdrop led the Italian equity market to record a total return in sterling of 19.1% during the half.

PORTFOLIO CLASSIFICATION BY INVESTMENT TYPE

	June 2019	December 2018
Yieldcos and investment companies	26.96%	24.30%
Growth equities	32.66%	34.02%
Yield equities	40.39%	41.68%

Source: PFM Ltd

Investors will recall that the portfolio is segmented into three broad categories. Firstly, yield equities, which tend to be the larger more mature incumbent companies with lower growth but higher yield. Secondly, growth equities being the smaller higher growth companies with lower yields, which are usually located in emerging markets. Thirdly yield companies (“yieldcos”) and investment companies, closed end funds and companies set up to own a portfolio of assets and to pay out a high percentage of cash flow as dividends.

The allocation to each investment type was fairly consistent over the half, driven mainly by performance. The return (total return in sterling) seen within each category is shown below:

RETURNS BY INVESTMENT TYPE
6 months to 30 June 2019

Yieldcos and investment companies	24.7%
Growth equities	(1.1%)
Yield equities	19.2%

Source: Bloomberg

The portfolio’s yield equities and yieldcos and investment company positions performed very well during the first half, recording returns of 19.2% and 24.7% respectively, ahead of the sector and markets generally. These segments both benefitted from the trends prevalent within markets during the period. However, performance was (again) hurt by the holdings in the growth equities element of the portfolio, which recorded a negative return of 1.1%. This is more an indication of the polarisation of markets rather than anything fundamental we feel, as these companies have performed well in terms of business growth, earnings and dividends.

Growth equities
Starting with the weakest area of the portfolio, the growth equities investments were again laggards, although we remain enthused by the prospects for these holdings.

Chinese companies make up a large part of the 33% allocated to growth equities. It remains frustrating to see strong business and earnings growth not being reflected in share prices, but value is building and as dividends are also increasing, we are increasingly being compensated for patience.

China Everbright International, which shareholders may recall saw its shares fall sharply in 2018 following a rights issue undertaken to fund its substantial growth pipeline, reported very strong 2018 results, with a 55.3% increase in waste volumes treated and earnings per share (“EPS”) up 12.6% despite the dilution from the rights issue. The first half of 2019 has seen a steady flow of new contracts to build and operate waste to energy facilities, but its shares failed to respond, gaining only 2.7%.

We continue to favour the Chinese gas sector, as the country moves from coal to cleaner gas. Beijing Enterprises Holdings, which distributes gas in Beijing, had a strong 2018, increasing gas volumes by 15.4% and reporting further growth in earnings. Despite this, its shares fell 4.3%. We have added new Chinese gas investments at the end of 2018 and further into 2019, Kunlun Energy and China Resources Gas.

In the Philippines Metro Pacific Investments Corp had a disappointing half, its shares only managing a gain of 3.4% despite reporting solid results, and implementing tariff increases in its toll roads and water distribution businesses. It is currently in the middle of a major road building programme around Manila which we believe will add significantly to earnings in future.

Following gains toward the end of 2018, OPG Power Ventures again fell back, its shares losing 23.9%. Fundamentally, the outlook is much improved on lower coal prices. We continue to engage with the company on governance and how best to demonstrate value.

Yield equities
In contrast to the growth section of the portfolio, the yield equities segment performed very well.

Cia de Saneamento de Parana (“Sanepar”), a Brazilian water company, saw a 31.0% increase in its share price. As a result we have taken some profits to reduce the size of the holding in order to manage concentration risks.

UK listed regulated names, National Grid, Pennon and Severn Trent again reported strong operations, financial results, and higher dividends, although their relative performance has been held back a little by political uncertainty. Their shares gained 9.4%, 7.2%, and 12.8% respectively over the period.

We made a further investment into Northland Power, now one of the Company’s largest holdings. Northland already owns two operational offshore wind farms in the North Sea and is currently building a third, which will drive future earnings growth.

GEOGRAPHIC ALLOCATION

	June 2019	December 2018
North America	24.95%	23.68%
China	21.97%	21.28%
Global	17.21%	11.68%
Latin America	8.70%	12.36%
United Kingdom	8.59%	14.70%
Asia (excluding China)	7.97%	7.24%
Europe (excluding UK)	5.28%	2.41%
India	2.81%	4.21%
Middle East	2.51%	2.43%

Source: PFM Ltd

SECTOR ALLOCATION

	June 2019	December 2018
Renewable Energy	32.18%	30.76%
Multi Utilities	20.13%	17.59%
Water & Waste	18.72%	22.39%
Gas	12.01%	10.73%
Electricity	8.49%	8.81%
Telecoms Infrastructure	3.05%	3.04%
Toll Roads	2.91%	4.26%
Ports	2.51%	2.43%

Source: PFM Ltd

Yieldcos & investment companies
PGIT’s holdings in renewable energy yield companies and closed end investment companies investing into US energy infrastructure performed well.

Renewable energy companies Atlantica Yield, Pattern Energy, Brookfield Renewable Energy, and Transalta Renewables recorded share price gains of 15.7%, 24.0%, 28.1% and 33.6% respectively. A falling interest rate environment has been a positive tailwind.

The two closed end funds investing in listed North American energy infrastructure, First Trust MLP & Energy Income Fund and Center Coast Brookfield MLP & Energy Infrastructure Fund saw their share prices increase by 21.3% and 14.7% respectively. The underlying investments held by these funds continue to experience strong growth in line with the US oil and gas industry.

Portfolio activity
Activity levels were consistent with recent years, with investments of £11.6m and sales of £10.4m As noted above, additional investments have been made into Northland Power, and we have also added new investments in European utilities Engie and Fortum, believing these companies stand to gain from increasing European carbon pricing.

We have reduced the exposure to Latin America, selling out of Ecorodovias, and reducing Sanepar. However, the overall weighting to China has been maintained, with further investment into the gas distribution industry countering the region’s modest performance.

Holdings in UK based utilities have been trimmed as we reduce sterling exposure and react to increased political risks.

Currency

Currency has been a positive factor during the period. The Company was substantially hedged during the first quarter, thus largely avoiding the loss that would have accrued from a strong pound as sterling appreciated by 2.2% against the USD over the first three months. Hedges were removed in early April, which was timely given sterling subsequently fell back by 2.6% against the US Dollar during the second quarter.

With Brexit having the potential to cause further uncertainty, near term risks remain skewed to the downside in our view. However there is potential for a sharp upwards correction should a sensible exit deal eventually be found. The situation will be kept under review.

Outlook
The first half has seen a good start to the year. Despite the gains the portfolio remains well valued, particularly the growth oriented positions. As such, we remain optimistic for future returns.

James Smith
Claire Long
Premier Fund Managers Limited
29 July 2019



Investment Portfolio
at 30 June 2019

				Ranking	Ranking
			Value	% total	June	December
Company	Activity	Country	£000	investments	2019	2018
Cia de Saneamento do Parana	Water & Waste	Latin America	3,264	6.2	1	1
China Everbright International	Water & Waste	China	3,231	6.2	2	2
Northland Power	Renewable Energy	Global	3,088	5.9	3	26
Atlantica Yield	Renewable Energy	Global	3,080	5.9	4	10
First Trust MLP and Energy Income Fund	Multi Utilities	North America	2,672	5.1	5	8
Beijing Enterprises Holdings	Gas	China	2,328	4.5	6	5
Enbridge	Gas	North America	2,174	4.2	7	6
Center Coast MLP & Infrastructure Fund	Multi Utilities	North America	2,060	3.9	8	14
Metro Pacific Investments Corp	Multi Utilities	Asia (ex China)	1,960	3.8	9	12
China Longyuan Power	Renewable Energy	China	1,764	3.4	10	9
Pennon Group	Water & Waste	United Kingdom	1,561	3.0	11	4
Pattern Energy Group	Renewable Energy	North America	1,529	2.9	12	18
National Grid	Multi Utilities	Global	1,504	2.9	13	3
OPG Power Ventures	Electricity	India	1,466	2.8	14	7
TransAlta Renewables	Renewable Energy	North America	1,412	2.7	15	22
Jasmine Broadband Internet	Telecoms infrastructure	Asia (ex China)	1,384	2.6	16	16
Brookfield Renewable Energy	Renewable Energy	North America	1,312	2.5	17	23
DP World	Ports	Middle East	1,311	2.5	18	19
Engie	Multi Utilities	Global	1,309	2.5	19	–
Kunlun Energy	Gas	China	1,259	2.4	20	31
Clearway Energy ‘A’	Renewable Energy	North America	1,211	2.3	21	17
SSE	Electricity	United Kingdom	1,031	2.0	22	15
ACEA	Multi Utilities	Europe (ex UK)	1,002	1.9	23	25
China Everbright Greentech	Renewable Energy	China	978	1.9	24	21
Vinci	Toll roads	Europe (ex UK)	886	1.7	25	34
Omega Geracao	Renewable Energy	Latin America	867	1.7	26	29
Fortum	Electricity	Europe (ex UK)	865	1.7	27	–
Huaneng Renewables	Renewable Energy	China	772	1.5	28	27
Severn Trent	Water & Waste	United Kingdom	696	1.3	29	28
Edison International	Electricity	North America	657	1.2	30	24
Yuexiu Transport Infrastructure	Toll roads	China	633	1.2	31	35
TPI Polene Power	Water & Waste	Asia (ex China)	609	1.1	32	30
China Resources Gas	Gas	China	506	1.0	33	36
Cia Saneamento Minas Gerais	Water & Waste	Latin America	412	0.8	34	33
Gresham House Energy Storage Fund	Electricity	United Kingdom	412	0.8	35	–
Drax Group	Renewable Energy	United Kingdom	403	0.8	36	20
GCP Infrastructure Investments	Renewable Energy	United Kingdom	383	0.7	37	–
Sarana Menara Nusantara	Telecoms infrastructure	Asia (ex China)	207	0.4	38	37
			52,198	99.9%
Unquoted
PGIT Securities 2020 PLC	ZDP subsidiary	United Kingdom	50	0.1
ITI Energy	In liquidation	United Kingdom	-	-
Total investments			52,248	100.0%

Group Income Statement
for the six months to 30 June 2019

		(Unaudited)	(Unaudited)	(Unaudited)	(Unaudited)	(Unaudited)	(Unaudited)	(Audited)	(Audited)	(Audited)
		Six months to	Six months to	Six months to	Six months to	Six months to	Six months to	Year ended	Year ended	Year ended
		30 June 2019	30 June 2019	30 June 2019	30 June 2018	30 June 2018	30 June 2018	31 December 2018	31 December 2018	31 December 2018
		Revenue	Capital	Total	Revenue	Capital	Total	Revenue	Capital	Total
	Notes	£000	£000	£000	£000	£000	£000	£000	£000	£000
Gains/(losses) on investments
held at fair value
through profit or loss		–	4,517	4,517	–	(3,350)	(3,350)	–	(5,233)	(5,233)
(Losses)/gains on forward
foreign exchange contracts		–	441	441	–	(1,563)	(1,563)	–	(2,518)	(2,518)
Income		1,486	–	1,486	1,402	–	1,402	2,695	–	2,695
Investment management fee		(81)	(121)	(202)	(79)	(118)	(197)	(152)	(228)	(380)
Other expenses		(237)	–	(237)	(263)	–	(263)	(515)	–	(515)
Profit before finance costs
and taxation		1,168	4,837	6,005	1,060	(5,031)	(3,971)	2,028	(7,979)	(5,951)
Finance costs		–	(637)	(637)	–	(615)	(615)	–	(1,255)	(1,255)
Profit/(loss) before taxation		1,168	4,200	5,368	1,060	(5,646)	(4,586)	2,028	(9,234)	(7,206)
Taxation	5	(43)	–	(43)	(68)	–	(68)	(160)	–	(160)
Profit/(loss) for the period		1,125	4,200	5,325	992	(5,646)	(4,654)	1,868	(9,234)	(7,366)
Return per Ordinary Share
- basic (pence)	3	6.21	23.22	29.43	5.48	(31.21)	(25.73)	10.33	(51.05)	(40.72)

The total columns of this statement represents the Group’s profit or loss, prepared in accordance with IFRS.

As the parent of the Group, the Company has taken advantage of the exemption not to publish its own separate Income Statement as permitted by Section 408 of the Companies Act 2006. The Company’s total comprehensive income for the half year ended 30 June 2019 was £5,325,000.

The supplementary revenue and capital columns are prepared under guidance published by the Association of Investment Companies (“AIC”).

All items derive from continuing operations; the Group does not have any other recognised gains or losses.

All income is attributable to the equity holders of the Company. There are no minority interests.



Consolidated and Company Balance Sheets
as at 30 June 2019

		(Unaudited)	(Unaudited)	(Unaudited)	(Unaudited)	(Audited)	(Audited)
		Group	Company	Group	Company	Group	Company
		30 June	30 June	30 June	30 June	31 December	31 December
		2019	2019	2018	2018	2018	2018
	Notes	£000	£000	£000	£000	£000	£000
Non current assets
Investments at fair value through profit or loss		52,198	52,248	49,920	49,970	46,363	46,413
Current assets
Debtors		302	302	392	392	247	247
Forward foreign exchange contracts		–	–	13	13	258	258
Cash at bank		787	787	1,014	1,014	1,293	1,293
		1,089	1,089	1,419	1,419	1,798	1,798
Total assets		53,287	53,337	51,339	51,389	48,161	48,211
Current liabilities
Creditors: amounts falling due within one year		(234)	(234)	(202)	(202)	(129)	(129)
Forward foreign exchange contracts		–	–	(39)	(39)	–	–
		(234)	(234)	(241)	(241)	(129)	(129)
Total assets less current liabilities		53,053	53,103	51,098	51,148	48,032	48,082
Non-current liabilities
Zero Dividend Preference Shares		(28,310)	–	(27,033)	–	(27,673)	–
Intercompany payable		–	(28,360)	–	(27,083)	–	(27,723)
Net assets		24,743	24,743	24,065	24,065	20,359	20,359
Equity attributable to Ordinary Shareholders
Share capital		181	181	181	181	181	181
Share premium		8,701	8,701	8,701	8,701	8,701	8,701
Redemption reserve		88	88	88	88	88	88
Capital reserve		6,796	6,796	6,184	6,184	2,596	2,596
Special reserve		7,472	7,472	7,472	7,472	7,472	7,472
Revenue reserve		1,505	1,505	1,439	1,439	1,321	1,321
Total equity attributable
to Ordinary Shareholders		24,743	24,743	24,065	24,065	20,359	20,359
Net asset value per
Ordinary Share (pence)	4	136.79	136.79	133.04	133.04	112.55	112.55

Consolidated and Company Statement of Changes in Equity

For the six months to 30 June 2019 (unaudited)
	Ordinary	Share
	share	premium	Redemption	Capital	Special	Revenue
	capital	reserve	reserve	reserve	reserve*	reserve*	Total
	£000	£000	£000	£000	£000	£000	£000
Balance at 31 December 2018	181	8,701	88	2,596	7,472	1,321	20,359
Profit for the period	–	–	–	4,200	–	1,125	5,325
Ordinary dividends paid	–	–	–	–	–	(941)	(941)
Balance at 30 June 2019	181	8,701	88	6,796	7,472	1,505	24,743

For the six months to 30 June 2018 (unaudited)
	Ordinary	Share
	share	premium	Redemption	Capital	Special	Revenue
	capital	reserve	reserve	reserve	reserve*	reserve*	Total
	£000	£000	£000	£000	£000	£000	£000
Balance at 31 December 2017	181	8,701	88	11,830	7,472	1,587	29,859
Loss for the period	–	–	–	(5,646)	–	992	(4,654)
Ordinary dividends paid	–	–	–	–	–	(1,140)	(1,140)
Balance at 30 June 2018	181	8,701	88	6,184	7,472	1,439	24,065

For the financial year ended 31 December 2018 (audited)
	Ordinary	Share
	share	premium	Redemption	Capital	Special	Revenue
	capital	reserve	reserve	reserve	reserve*	reserve*	Total
	£000	£000	£000	£000	£000	£000	£000
Balance at 31 December 2017	181	8,701	88	11,830	7,472	1,587	29,859
Loss for the year	–	–	–	(9,234)	–	1,868	(7,366)
Ordinary dividends paid	–	–	–	–	–	(2,134)	(2,134)
Balance at 31 December 2018	181	8,701	88	2,596	7,472	1,321	20,359

* Distributable reserves.

Consolidated and Company Cashflow Statements
for the six months ended 30 June 2019

	(Unaudited)	(Unaudited)	(Unaudited)	(Unaudited)	(Audited)	(Audited)
	Group	Company	Group	Company	Group	Company
	Six months	Six months	Six months	Six months	Year	Year
	ended	ended	ended	ended	ended	ended
	30 June	30 June	30 June	30 June	31 December	31 December
	2019	2019	2018	2018	2018	2018
	£000	£000	£000	£000	£000	£000
Profit/(loss) before taxation	5,368	5,368	(4,586)	(4,586)	(7,206)	(7,206)
Adjustments for
Finance costs	637	637	615	615	1,255	1,255
(Gains)/losses on investments held at fair value through profit or loss	(4,517)	(4,517)	3,350	3,350	5,233	5,233
(Gains)/losses on forward foreign exchange contracts	(441)	(441)	1,563	1,563	2,518	2,518
Increase/(decrease) in trade and other receivables	182	182	(125)	(125)	(256)	(256)
Increase/(decrease) in trade and other payables	16	16	7	7	(83)	(83)
Overseas taxation paid	(24)	(24)	(111)	(111)	(185)	(185)
Net cash flows from operating activities	1,221	1,221	713	713	1,276	1,276
Investing activities
Purchases of investments	(11,627)	(11,627)	(13,550)	(13,550)	(22,223)	(22,223)
Proceeds from sales of investments	10,400	10,400	15,388	15,388	25,726	25,726
Cash flows from  forward foreign exchange contracts	441	441	(1,563)	(1,563)	(2,518)	(2,518)
Net cash flows from
investing activities	(786)	(786)	275	275	985	985
Financing activities
Dividends paid	(941)	(941)	(1,140)	(1,140)	(2,134)	(2,134)
Net cash used in
financing activities	(941)	(941)	(1,140)	(1,140)	(2,134)	(2,134)
(Decrease)/increase in cash and cash equivalents	(506)	(506)	(152)	(152)	127	127
Cash and cash equivalents, beginning of period	1,293	1,293	1,166	1,166	1,166	1,166
Cash and cash equivalents at end of period	787	787	1,014	1,014	1,293	1,293

Notes to the Half Year Report

ACCOUNTING POLICIES
1.1       Basis of preparation
The Half-year Financial Statements have been prepared in accordance with International Accounting Standard (“IAS”) 34 “Interim Financial Reporting” and in accordance with the Statement of Recommended Practice (“SORP”) “Financial Statements of Investment Trust Companies and Venture Capital Trusts” issued by the Association of Investment Companies (“AIC”) in November 2014 (and updated in February 2019), where the SORP is not inconsistent with IFRS.

The financial information contained in this Half-year Report does not constitute statutory accounts as defined in Section 434 of the Companies Act 2006. The financial information for the periods ended 30 June, 2019 and 30 June 2018, have not been audited. The financial information for the year ended 31 December, 2018 has been extracted from the latest published audited accounts. Those accounts have been filed with the Registrar of Companies and included the Independent Auditor’s Report which, in respect of both sets of accounts, was unqualified, did not contain an emphasis of matter reference, and did not contain a statement under Section 498(2) or (3) of the Companies Act 2006. Those statutory accounts were prepared in accordance with IFRS, as adopted by the European Union.

The functional currency of the Group is UK pounds sterling as this is the currency of the primary economic environment in which the Company operates. Accordingly, the Financial Statements are presented in UK pounds sterling rounded to the nearest thousand pounds.

The same accounting policies, presentation and methods of computation have been followed in these Financial Statements as were applied in the preparation of the Group’s Financial Statements for the previous accounting periods.

IFRS 10 Consolidated Financial Statements
The Financial Statements in these accounts reflect the adoption of IFRS 10 (including the Investment Entities amendment) which requires investment companies to value subsidiaries (except for those providing investment related services) at fair value through profit and loss rather than consolidate them. The Directors, having assessed the criteria, believe that the Group meets the criteria to be an investment entity under IFRS 10 and that this accounting treatment better reflects the Company’s activities as an investment trust.

PGIT Securities 2020 PLC, which is controlled by the Company, holds the ZDP shares and has loaned the proceeds to the Company. It is considered to provide investment related services to the Group and is therefore required to be consolidated under the IFRS 10 Investment Entities amendment. PGIT Securities 2020 PLC has been consolidated in these Financial Statements using consistent accounting policies to those applied by the Company.

1.2       Presentation of Statement of Comprehensive Income
In order to better reflect the activities of the Company as an investment trust company, and in accordance with guidance issued by the AIC, supplementary information which analyses the Consolidated Income Statement between items of a revenue and capital nature has been presented alongside the Consolidated Income Statement. In accordance with the Company’s Articles of Association, net capital returns can be distributed by way of dividend. Additionally, net revenue is the measure the Directors believe appropriate in assessing the Company’s compliance with certain requirements set out in Section 1158 of the Corporation Tax Act 2010.

1.3       Use of estimates
The preparation of Financial Statements requires the Company to make estimates and assumptions that affect the items reported in the Balance Sheet and Income Statement and the disclosure of contingent assets and liabilities at the date of the Financial Statements. Although these estimates are based on the Board’s best knowledge of current facts, circumstances and, to some extent, future events and actions, the Company’s actual results may ultimately differ from those estimates, possibly significantly. The investments in the equity and fixed interest stocks of unquoted companies that the Group holds are not traded and as such the prices are more uncertain than those of more widely traded securities. The unquoted investments are valued by reference to valuation techniques approved by the Directors and in accordance with the International Private Equity and Venture Capital Valuation (“IPEV”) Guidelines and IFRS 13.


1.4       Segmental reporting
The chief operating decision maker has been identified as the Board of the Company. The Board reviews the Company’s internal management accounts in order to analyse performance. The Directors are of the opinion that the Company is engaged in one segment of business, being the investment business. Geographical segmental analysis has not been disclosed because the Directors are of the opinion that as an investment company the geographical sources of revenues received by the Company are incidental to its investment activity. The geographical allocation of the investments from which income is received and to which non-current assets relate is given on page 8.

2.         Dividend
On 25 July 2019 the Directors declared a second interim dividend of 2.50p per Ordinary Share for the year ending 31 December 2019 to holders of Ordinary Shares on the register on 23 August 2019. The Ordinary Shares will be marked ex-dividend on 22 August 2019 and the dividend will be paid on 27 September 2019.

3.         Total return per Ordinary Share
The total return per Ordinary Share is based on the gain for the half year after taxation of £5,325,000
(six months ended 30 June 2018: loss of £4,654,000; year ended 31 December 2018: loss of £7,366,000) and on 18,088,480 Ordinary Shares in issue during the six months ended 30 June 2019 (six months ended 30 June 2018: 18,088,480 Ordinary Shares; year ended 31 December 2018: 18,088,480 Ordinary Shares).

4.         Net Asset Value
The net asset value per share and the net assets available to each class of share calculated in accordance with International Financial Reporting Standards are as follows:

	Net asset value	Net assets	Net asset value	Net assets
	per share	available	per share	available
	30 June	30 June	31 December	31 December
	2019	2019	2018	2018
	Pence	£000	Pence	£000
18,088,480 Ordinary Shares of £0.01 each in issue (2018: 18,088,480)	136.79p	24,743	112.55p	20,359
24,073,337 PGIT Securities 2020 PLC
Zero Dividend Preference Shares of £0.01 each in issue* (2018: 24,073,337)	117.60p	28,310	114.95p	27,673

*Classified as a liability.

5.         Taxation charge
The taxation charge of £43,000 (30 June 2018: £68,000 and 31 December 2018: £160,000) relates to irrecoverable overseas withholding taxation.

6.         Investment management fee charged by Premier Fund Managers Limited

	(Unaudited)	(Unaudited)	(Audited)
	Six months to	Six months to	Year ended
	30 June	30 June	31 December
	2019	2018	2018
	£000	£000	£000
Basic fee (charged at 0.75% p.a. of gross assets of the Company):
40% charged to revenue	81	79	152
60% charged to capital	121	118	228
	202	197	380

7.         Section 1158 of the Corporation Tax Act 2010
It is the intention of the Directors to conduct the affairs of the Company so that they satisfy the conditions for approval as an investment trust company set out in section 1158 of the Corporation Tax Act 2010.

Half Year Report 2019 PREMIER GLOBAL INFRASTRUCTURE TRUST PLC



Interim Management Report

Premier Global Infrastructure Trust PLC is required to make the following disclosures in its half year report:

PRINCIPAL RISKS AND UNCERTAINTIES
The Board believes that the principal risks and uncertainties faced by the Company continue to fall into the following categories:

• Structure of the Company and gearing	• Discount volatility
• Dividend levels	• Operational risk
• Currency risk	• Accounting, legal and regulatory risk
• Liquidity risk	• Political and regulatory risk
• Market price risk

Information on each of these is given in the Strategic Report in the Annual Report for the year ended 31 December 2018.

RELATED PARTY TRANSACTIONS
The Directors are recognised as a related party under the Listing Rules and during the six months to 30 June 2019 fees paid to Directors of the Company totalled £32,278 (six months ended 30 June 2018: £43,146 and year to 31 December 2018: £76,646).

GOING CONCERN

The Directors believe that having considered the Company’s investment objectives (shown on page 1), risk management policies and procedures, nature of portfolio and income and expense projections, that the Company has adequate resources, an appropriate financial structure and suitable management arrangements in place to continue in operational existence for the foreseeable future, being a period of at least 12 months from the date these financial statements were approved. For these reasons, they consider that the use of the going concern basis is appropriate. The risks that the Directors considered most likely to adversely affect the Company’s available resources over this period was a significant fall in the valuation or a reduction in the liquidity of the Company’s investment portfolio. In their consideration of these risks the Directors considered the impact a disorderly Brexit might have on the Company, its portfolio and activities. In their considerations, the Directors also took into account the continuation vote which is to be held at the annual general meeting of the Company in 2020.

If the shareholders voted not to pass the continuation vote scheduled to take place at the 2020 annual general meeting of the Company, this would oblige the Directors to follow the provisions in the Articles of Association and put forward proposals to the effect that the Company would be wound up, liquidated, reorganised, unitised or to find some other suitable solution that would be satisfactory to the shareholders.

DIRECTORS’ RESPONSIBILITY STATEMENT
The Directors are responsible for preparing the half year report, in accordance with applicable law and regulations. The Directors confirm that, to the best of their knowledge:

• The condensed set of Financial Statements within the Half-year Report has been prepared in accordance with IAS 34, “Interim Financial Reporting”, as adopted by the European Union; and

• The Interim Management Report includes a fair review of the information required by 4.2.7R (indication of important events during the first six months of the year) and 4.2.8R (disclosure of related party transactions and changes therein) of the FCA’s Disclosure and Transparency Rules.

For and on behalf of the Board.

Gillian Nott OBE
Chairman
29 July 2019



Directors and Advisers

Directors
Gillian Nott OBE – Chairman
Melville Trimble – Chairman of the Audit Committee (appointed on 25 April 2019)
Victoria Muir
Kasia Robinski (resigned on 25 April 2019)

Alternative Investment Fund Manager (“AIFM”)
Premier Portfolio Managers Limited
Eastgate Court            High Street      Guildford         Surrey GU1 3DE
Telephone: [phone]
www.premierfunds.co.uk
Authorised and regulated by the
Financial Conduct Authority

Investment Manager
Premier Fund Managers Limited
Eastgate Court            High Street      Guildford         Surrey GU1 3DE
Telephone: [phone]
www.premierfunds.co.uk
Authorised and regulated by the
Financial Conduct Authority

Secretary and Registered Office
Premier Portfolio Managers Limited
Eastgate Court
High Street
Guildford
Surrey GU1 3DE

Company Number
4897881

Website
www.premierfunds.co.uk

Registrar
Link Asset Services
The Registry
34 Beckenham Road
Beckenham
Kent BR3 4TU
Telephone: [phone]
Overseas: [phone]
E-mail:[e-mail]

Custodian and Depositary
Northern Trust Global Services PLC
50 Bank Street
Canary Wharf
London E14 5NT
Authorised by the Prudential Regulation Authority (“PRA”) and regulated by the FCA and PRA

Auditor
KPMG LLP
Saltire Court
20 Castle Terrace
Edinburgh EH1 2EG

Tax Advisor
Crowe U.K. LLP
St. Brides House
10 Salisbury Square
London EC4Y 8EH

Stockbroker
N+1 Singer Advisory LLP
One Bartholomew Lane
London EC2N 2AX
Telephone: [phone]

Ordinary Shares
SEDOL: 3353790GB     LSE: PGIT
Zero Dividend Preference Shares
SEDOL: BYP98L6         LSE: PGIZ

Global Intermediary Identification Number
GIIN: W6S9MG.00000.LE.826



PREMIER GLOBAL INFRASTRUCTURE TRUST PLC
Half Year Report 2019