HSBC Infra.ups stake in Sussex project

30th Sep 2010 08:05

Infrastructure investor HSBC Infrastructure Company Limited (HICL) has made its second purchase in eight days, increasing its stake in the Sussex Custodial Centre private finance initiative (PFI) project.The company is paying £1.1m to buy a 7.55% equity interest and 17.65% loan note interest in the project, taking its total equity interest in the project to 89.9% and loan note interest to 100%.The price paid compares favourably with the valuation of the project in the company's portfolio. This acquisition brings to 16 the number of incremental acquisitions undertaken by the company since its flotation on the London Stock Exchange on 29 March 2006."This opportunity arose through a desire from our fellow shareholder in the project to crystallize a portion of their investment in this mature project, thus enhancing their financial flexibility to invest in additional public sector opportunities in this, their core market," explained Tony Roper, director of HSBC Specialist Fund Management Limited, HICL's investment adviser.