HICL Infrastructure PLC (LON: HICL), the UK-based infrastructure investment trust managed by InfraRed Capital Partners Limited, has announced that the Group has entered into an agreement to divest its entire equity and subordinated debt interests in two UK PPP projects: the Health & Safety Laboratory in Buxton; and the South West Acute Hospital in Enniskillen (together the “Projects”). The combined consideration is c. £52m and the disposals are expected to complete before the end of the calendar year.
In line with the Company’s strategy to optimise portfolio construction, the Investment Manager sought offers for the Projects. These were analysed by InfraRed and were considered to be attractive, enhancing key portfolio metrics and delivering significant value to HICL’s shareholders. The Group expects to redeploy the proceeds into accretive investments, including previously announced OFTOs that are currently at preferred bidder stage.
Harry Seekings, Co-Head of Infrastructure at InfraRed Capital Partners Limited, said:
“Over the past 18 months, we have used selective disposals to crystallise value for HICL Infrastructure shareholders, recycling almost 7% of portfolio value into more attractive investments. Both the Board and InfraRed continue to seek opportunities to deliver value for shareholders, positioning the Company for future acquisitions that will further enhance the portfolio.”
