Completion of Acquisition and Partial Disposal

RNS Number : 8704A

HICL Infrastructure Company Ld

01 October 2015

 



1 October 2015

HICL Infrastructure Company Limited (the "Company")

Completion of Acquisition and Partial Disposal

HICL Infrastructure Company Limited, the listed infrastructure investment company advised by InfraRed Capital Partners Limited, is pleased to announce the completion of the acquisition of the entire interest in the Royal Canadian Mounted Police 'E' Division Headquarters P3 Project in Surrey, British Columbia, Canada (the "Project") for a consideration of approximately CAD54 million.

The investment interests in the Project were acquired from InfraRed Infrastructure Fund III ("Fund III"), which held 99.9%, and from subsidiaries of the Bouygues Group which jointly held the remaining 0.1%.  This follows approval from the Company's shareholders at the extraordinary general meeting, held on Wednesday 12 August 2015, for the acquisition from Fund III.

The Project is the Company's third investment in Canada, and complements the other investments in its portfolio.  The acquisition price, which was funded by way of cash proceeds from the July tap issue, was in line with market pricing, as well as with comparable projects that the Investment Adviser has recently appraised on behalf of the Company.

Separately, the Company has disposed of its investment in the Ealing Care Homes PFI Project to Redwood Partnership Ventures 2 Limited, a JV between the Company and Kajima Partnerships Limited.  The net result of this transaction is to reduce the Company's direct 84% stake to an indirect interest of 63%, generating £1.6 million of proceeds, in line with the Board's valuation of the investment as at 31 March 2015.

As a result of this acquisition, the partial disposal and the contractual obligation due on Southmead Hospital, the Company has a current net funding requirement of £28 million.

Tony Roper, a Director of InfraRed Capital Partners Limited, said:

"We are pleased to have completed the RCMP investment acquisition, including the acquisition of the stake held by the Bouygues Group.  We look forward to our continued relationship with the client and to successful ongoing project delivery."

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Enquiries

InfraRed Capital Partners Limited                       [phone]

Tony Roper

Keith Pickard

Laurence Richardson

Harry Seekings

Tulchan Communications                                    [phone]

Chris Hughes

Victoria Huxster

Rob Walker

Canaccord Genuity                                                [phone]

Dominic Waters

Neil Brierley

Will Barnett

David Yovichic

HICL 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 was the first infrastructure investment company to be listed on the London Stock Exchange.  It currently owns a portfolio of 102 social and transportation infrastructure investments and is seeking further suitable investment opportunities which fit its stated Investment Strategy.

Further details of the Company can be found on its website www.hicl.com.

InfraRed Capital Partners Limited

The Investment Adviser to the Company is InfraRed Capital Partners Limited ("InfraRed"), whose infrastructure investment team has successfully invested in over 160 infrastructure projects since 1997. InfraRed manages specialised funds and co-investment capital on behalf of a broad range of investors from around the world, creating value through investing in infrastructure and real estate projects.  The head office is in London, with offices in Hong Kong, New York, Paris, Seoul and Sydney. InfraRed is authorised and regulated in the UK by the Financial Conduct Authority.

Further details of the Investment Adviser can be found on its website www.ircp.com.

 

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