Pre-Close Update

JOHN LAING GROUP plc

PRE-CLOSE UPDATE

John Laing Group plc ("John Laing" or "the Group"), the international originator, active investor and manager of infrastructure projects, today issues a pre-close update for the half-year ending 30 June 2017.

Investment activity

· We have made investment commitments in two of our three geographical regions: Asia Pacific and Europe

· Total investment commitments in 2017 to date of £111 million (see Appendix I):

o PPP: Grafton Prison (Australia): £79 million

o Renewable Energy: two commitments totalling £32 million in France and Australia

· Total investment commitments for 2017 expected to be in line with £200 million guidance.

Realisations

· Total 2017 realisations to date of £151 million, with aggregate prices achieved in line with portfolio valuation (see Appendix I)

· Sale of investments in:

o A1 motorway, Poland for £120.4 million

o M6 road, Hungary for £22.7 million

o Croydon and Lewisham Street Lighting for £8.2 million

· Further realisations planned for H2 2017; full year guidance of approximately £200 million maintained.

Investment portfolio

· Our investment portfolio as a whole is performing in line with expectations.

New Royal Adelaide Hospital

· In South Australia, the New Royal Adelaide Hospital project successfully reached commercial acceptance on 13 June 2017, as a result of which we expect the investment to be included in our Secondary Investment portfolio as at 30 June 2017.

Manchester Waste

· Further to the update issued on 2 May 2017, discussions are currently ongoing with the Greater Manchester Waste Disposal Authority. We will keep the market updated, as appropriate, as to the outcome of these discussions.

· John Laing has investments in Manchester Waste VL Co and Manchester Waste TPS Co, which are contractually linked. As stated in our update on 2 May 2017, taken together the fair value of the two investments represented 8% of John Laing's investment portfolio of £1,176 million at 31 December 2016. Like all John Laing investments, the two investments are made on a non-recourse basis.

Other Investments

· Six projects are expected to be completed and move from the Primary to the Secondary Investment portfolio during the first half of 2017: Llynfi, Glencarbry and Hornsdale 2 wind farms, Lambeth Housing, Speyside Biomass and New Royal Adelaide Hospital.

· Five further investments - Denver Eagle P3, Cramlington Biomass and Sterling, Kiata and Nordegründe wind farms - are expected to be completed and move into the Secondary Investment portfolio during the second half of 2017.

Pension fund

· As at 31 May 2017, the IAS19 net pension deficit was estimated at £30 million based on an IAS 19 discount rate of 2.60% and long term RPI of 3.10%. The deficit has decreased since 31 December 2016 primarily as the result of a scheduled cash contribution of £24.5 million to the John Laing Pension Fund in March 2017.

Outlook

· The pipeline of new investment opportunities remains attractive in both PPP and renewable energy, particularly across Asia Pacific and North America

· John Laing is currently part of eleven shortlisted PPP bids due to reach financial close in the next two years, including six in North America

· We continue to assess opportunities in infrastructure sectors closely linked to our existing PPP and renewable energy sectors

· The market for secondary infrastructure investment remains active

Olivier Brousse, John Laing's Chief Executive, said:

"It has been an active year so far and we are in line with our full year guidance for investment commitments and disposals. The New Royal Adelaide Hospital reached a key milestone with its commercial acceptance by the Government of South Australia on 13 June, and our team was instrumental in reaching a solution for this project. Looking to the second half and beyond, our teams continue to bring forward a steady stream of new investments, while the asset management teams are actively managing the projects through the construction phase. John Laing is well established as an international greenfield investment expert and we plan to continue to scale up our model based on our expertise as an originator, investor and manager of greenfield infrastructure projects. "

The Group's results for the half-year ending 30 June 2017 will be announced on 24 August 2017.

A call for analysts and investors will be held at 8.00am (London time) today.

Conference call details:

UK number +44 333 300 0804

Pin code 84249298#

Further information

Analyst/investor enquiries:

Olivier Brousse, Chief Executive +44 20 7901 3200

Patrick O'D Bourke, Group Finance Director +44 20 7901 3200

Tom Randell, Head of Investor Relations and Communications +44 20 7901 3200

Media enquiries:

James Isola, Maitland +44 20 7379 5151

www.laing.com

Appendix I: details of investment commitments and realisations

*GBP amounts incorporate the effect of dividend payments by the project company and adjustments to the

sale price made subsequent to the agreement to sell, as well as the impact of foreign exchange hedging

JLIF = John Laing Infrastructure Fund

Appendix II: Exchange rates vs Sterling