23rd Dec 2020 09:19
International Public Partnerships Ltd - London-based infrastructure investor - Increases investment in project that integrates Brussels airport with Belgium's national rail network. INPP says it has invested an additional EUR10 million into the 100% indirectly owned special purpose vehicle that owns the Northern Diabolo Rail Link. The cash is to support the project's liquidity position and ensure it is able to meet its debt covenants. Passenger numbers have dropped during 2020, due to Covid-19, and the payments the rail connection receives from public authorities is linked to this. INPP also has made a contingent commitment of a further EUR14 million, saying the extent to which this will be tapped depends on the timing of the recovery in passenger numbers. INPP had reduced the valuation of the Brussels project back in June due to the virus pandemic.
"Ongoing discussions continue with the project stakeholders with respect to mitigation," INPP says, adding: "In the longer-term, the project benefits from a contractual mechanism which permits an adjustment to the future passenger fee should passenger numbers and returns fall below a certain threshold."
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Year-to-date change: down 1.3%
By Tom Waite; [email protected]
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