HICL completes military investment acquisition

Investment infrastructure group, HICL, has bought a 50% equity and loan note interest in the Northwood Ministry of Defence HQ PFI Project for 30.6m pounds.

The deal with Carillion Private Finance was originally announced in November 2012 but the details of the purchase were not released due to confidentiality restrictions.

The company said the amount it had paid was line with the current valuations of similar UK PFI projects in the group's portfolio and took its total number of infrastructure investments to 79.

The Northwood project is a £198m scheme to design, construct and commission new-build facilities and associated site infrastructure on behalf of the Ministry of Defence in Northwood, Greater London.

It reached financial close in July 2006 and lasts for 25 years from that date.

Northwood is the MoD's strategic military command centre, covering the UK's three armed forces and is also a NATO establishment.

The contract provides fully serviced office accommodation along with improved single living accommodation for personnel stationed on the site.

Construction of the facilities was completed in July 2011 after a five year construction programme.

The group has also completed the acquisition of additional equity and loan note interests in Fife Schools from a subsidiary of Sodexo.

This takes HICL's total interests in this project to 50% and completes the acquisitions announced on August 28th 2012.