22nd Sep 2014 07:39
LONDON (Alliance News) - HICL Infrastructure Co Ltd on Monday struck deals to increase its stake in two existing investments in private finance initiatives (PFIs) in the UK.
The infrastructure investor has acquired an additional 19% interest in the Sheffield 'Building Schools for the Future' (BSF) project via its Future Investments LLP vehicle, taking its total stake in the project to 59% from 40% previously.
It has acquired the additional stake from FTSE 250 property investor International Public Partnerships Ltd for GBP3.2 million. In a separate statement, INPP said the divestment of its minority interest in the project was in line with similar divestment of non-strategic minority interests from its BSF portfolio earlier this year.
HICL has also bought an additional 50% stake in the Oldham Library PFI project alongside Kajima Partnerships Ltd from a subsidiary of FTSE 250 building company Kier Group PLC.
HICL has formed a new joint venture with Kajima, with HICL holding a 90% stake in the joint venture. The deal increases the stake HICL holds in the Oldham project to 90%, as the joint venture now holds a 100% stake in the deal.
"We are pleased to have completed these two incremental acquisitions in good, operational projects which meet the group's strategy of increasing its stakes to majority ownership when the opportunity arises," said Tony Roper, director at InfraRed Capital Partners, the fund manager for the HICL vehicle.
HICL shares were down 0.2% to 142.70 pence on Monday. INPP shares were flat at 133.60p, while Kier was quoted at 1,712.00p, down 0.5%.
By Sam Unsted; [email protected]; @SamUAtAlliance
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