HICL raises hospital, school stakes

The London-listed fund manager has taken its equity interests in two projects to 100% in deals worth a combined £8.1m.

HICL Infrastructure Company (HICL), the London Stock Exchange-listed investment firm, has raised its interest to 100 percent of the equity in two of its existing portfolio assets.

The firm has acquired 50 percent of the share capital and all the remaining loan notes in the Willesden Hospital Private Finance Initiative (PFI). Completion of loan notes worth £700,000 is deferred until 2019.

The Willesden Hospital project is a 32-year concession for the design, construction, financing, maintenance and operation of a community hospital in North London. The project was signed in December 2002 and has been fully operational since August 2005.

It has also acquired 15 percent of the share capital in the Barking and Dagenham Schools PFI. This comprises a 27-year concession for the design, construction, financing, maintenance and operation of two new secondary schools in East London. Signed in March 2004, the project has been fully operational since August 2009.

In a statement, HICL said the deals had been funded by drawing on its revolving credit facility and that the total consideration for the incremental investments was approximately £8.1 million (€10.6 million; $12.3 million).

With a long-term focus on projects in their operational phase and yielding steady returns, HICL currently has 96 social and transport infrastructure investments in its portfolio.