HICL makes two small PFI investments

Infrastructure investment firm HICL Infrastructure has made two new investments in private finance initiative (PFI) projects.

The first purchase sees HICL taking total ownership of the Dorset Fire & Rescue PFI Project with the acquisition of Carden Croft's minority 33.0% equity and loan interest.

MoneyWeek

Subscribe to MoneyWeek today and get your first six magazine issues absolutely FREE

Get 6 issues free

https://cdn.mos.cms.futurecdn.net/flexiimages/mw70aro6gl1676370748.jpg

Sign up to Money Morning

Don't miss the latest investment and personal finances news, market analysis, plus money-saving tips with our free twice-daily newsletter

Hard facilities management services are undertaken by Cofely Technical Services (part of the GDF Suez group).

The second acquisition is for a 16.0% equity and loan note interest in the Ealing Care Homes PFI Project, which is being purchased from Galliford Try Investments. The acquisition increased HICL's stake to 84%.

The project is a 32-year concession to design, build, finance, operate and maintain four care homes for the London Borough of Ealing.

The total consideration for the two purchases is £4.9m, funded from HICL's existing cash resources. As is normally the case with HICL's acquisitions, the group said the purchase price is in line with the current valuation of other UK PFI projects within its portfolio.

MoneyWeek is written by a team of experienced and award-winning journalists, plus expert columnists. As well as daily digital news and features, MoneyWeek also publishes a weekly magazine, covering investing and personal finance. From share tips, pensions, gold to practical investment tips - we provide a round-up to help you make money and keep it.