Additional investment in the Highland Schools PFI Project
HICL Infrastructure Company Limited (HICL or the Company, and together with its subsidiaries the Group), the listed infrastructure investment company, is pleased to announce that the Group has agreed to buy additional equity and loan note interests in the Highlands Schools PFI Project from a subsidiary of 3i Infrastructure plc. This takes the Group’s total interests in this project to 100%.
The Highland Schools PFI project is a 30-year concession with the Highland Council in Scotland to design, build and operate eleven urban and rural schools with a total capital value of £143m. This all-new build concession runs until 2037.
The total consideration to be paid by the Group for the additional stake is £21.2m and is in line with the current valuation of similar U.K. PFI projects in the Group’s portfolio. The acquisition was funded from the Group’s debt facility and takes the Group’s funding requirement to £78.7m including the Conditional Investments announced on 26 February in conjunction with the Placing, Open Offer and Offer for Subscription of New Ordinary Shares. The acquisition builds on the Group’s strategy of increasing its shareholdings in existing infrastructure investments.