17th Nov 2020 10:38
(Alliance News) - BBGI Global Infrastructure SA on Monday said it plans to raise up to GBP55 million through the placing of shares at between 164 pence and 172p each, with the proceeds to fund the acquisition of a 25% stake in Signature on the Saint-Lawrence Group.
Shares in the infrastructure investment company were trading 2.1% lower at 170.53 pence each on Tuesday morning in London.
BBGI Global - formerly known as BBGI SICAV - stated it will acquire a 25% equity interest in Signature on the Saint-Lawrence Group, the operator of the Samuel De Champlain Bridge Corridor in Montreal, Quebec, Canada.
The project originally consisted of the design, construction, financing, operation, maintenance and rehabilitation of a new bridge on the St. Lawrence River between Montreal and Brossard, Quebec. The bridge - owned by the Canadian government - opened to traffic in summer 2019 and the concession runs until 2049, the company noted. Availability payments are received from the Canadian government.
Turning to the placing, Luxembourg-based BBGI Global said it will be carried out by way of an accelerated bookbuild due to close on Monday, with Jefferies International Ltd and Winterflood Securities Ltd acting as joint bookrunners.
The new cash will be used to fund the acquisition of the stake in the New Champlain Bridge Corridor project as well as to repay its revolving credit facility and other outstanding debt.
"We are delighted to make this investment into Signature on the Saint-Lawrence, the operator of a high-profile infrastructure asset which is an essential component of Canada's international trade corridor," said BBGI Co-Chief Executive Duncan Ball.
By Ife Taiwo; [email protected]
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