Bilfinger Berger fund completes acquisition of three PFI projects
Related M&A Transactions
Bilfinger Berger Global Infrastructure SICAV S.A. (BBGI) has announced that it has completed the acquisition of additional interests in three PFI/PPP projects from Assura Group Limited, as previously indicated on 25 November 2013.
The interests being acquired include equity and subordinated debt interests in Liverpool & Sefton Clinics, North London Estates Partnerships (formerly known as Barnet & Haringey Clinics) and Mersey Care Mental Health Hospital. The total consideration is approximately GBP9 million which has been funded from existing cash reserves
-- The Liverpool & Sefton Clinic LIFT project is a UK concession to develop, fund, build, operate and manage primary healthcare facilities in Liverpool and Sefton. BBGI acquired 20.0% of the equity interest in the project and 26.1% of the subordinated debt from Assura. BBGI now controls 46.6% of the equity and 52.8% of the subordinated debt.
-- The North London Estates Partnership LIFT project is a UK concession to develop, fund, build, operate and manage primary healthcare facilities around Barnet, Enfield and Haringey. BBGI acquired 20.0% of the equity interest in the project and 26.7% of the subordinated debt from Assura. BBGI now controls 46.6% of the equity and 53.3% of the subordinated debt.
-- The Mersey Care Mental Health project involves transforming the former Walton Hospital site in Liverpool into a new, 85 bed, mental health in-patient facility. BBGI acquired 28.6% of the equity and 30.0% of the subordinated debt from Assura. BBGI now controls 66.7% of the equity and 70% of the subordinated debt. The asset is currently in construction although it is expected to become operational during 2014.
All the assets are classified as availability-based under the investment policy of the Company and are supported by contracted, public sector-backed revenue streams, with inflation-protection characteristics.
Frank Schramm, Co-CEO of BBGI, said:
"The acquisitions are accretive and allow us to increase our stakes in these high quality PPP projects at attractive pricing levels."