DIF acquires full control of schools portfolio for €20m

The four projects were held in a joint venture with BAM PPP, which has now sold its remaining 50% stake to DIF.

Dutch infrastructure fund manager DIF has acquired full control of four social infrastructure projects that were previously held in a joint venture with Dutch developer BAM PPP. 

DIF paid about €20 million to BAM to acquire its 50 percent stake in the joint venture, which owns interest in four UK school developments in Dalkeith, Crawley, East Renfrewshire and Bristol.

The schools were being developed under the UK government’s private finance initiative programme, which involves the private sector in the provision of public infrastructure through a standardised procurement process.

BAM said in a statement that it made the sale in accordance with a policy of divesting interests in projects in order to support ongoing bids, or what it calls “recycling” of capital. BAM added that it
booked a €9 million profit from its exit from the joint venture.

The joint venture was set up in late 2007, with BAM PPP selling a 25 percent stake in the four projects to DIF. One year later, DIF acquired another 25 percent in the schools portfolio, becoming equal partner with BAM.

DIF is buying the stake through its second infrastructure fund, DIF Infrastructure II, which is targeting €500 million and has a hard cap of €750 million. As of August, the fund had raised €220 million, as previously reported by InfrastructureInvestor.

The fund invests in public-private partnership and private finance initiative projects across Europe.