15 January 2018
HICL Infrastructure Company Limited
Service Provision Continuity
HICL Infrastructure Company Limited ("HICL" or the "Company"), the listed infrastructure investment company advised by InfraRed Capital Partners Limited ("InfraRed"), notes the recent announcement from Carillion plc ("Carillion") regarding its compulsory liquidation.
Acting through the Risk Committee, the HICL Board and InfraRed make ongoing assessments of counterparties, potential issues in the HICL supply chain and related contingency planning. In particular, a contingency plan has already been developed that specifically contemplated a scenario where Carillion enters liquidation and InfraRed has been working for some time with a number of potential replacement service providers. The contingency plan has been activated and the InfraRed Asset Management Team is working in conjunction with all stakeholders to ensure continuity of service provision at the relevant PPP projects.
Carillion provided facilities management services to 10 of the PPP project companies in which HICL is invested, representing approximately 14% of Portfolio Value. The Company's overriding objective is to protect the delivery of services to stakeholders, including its public sector clients and the users of the facilities that form part of the relevant PPP projects. The HICL Board and InfraRed are confident the actions already under way will achieve this and that permanent replacement facilities management services providers will be secured as soon as practicable. A further update will be issued in due course.
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InfraRed Capital Partners Limited +44 (0) 20 7484 1800
Harry Seekings
Keith Pickard
Kirsty MacCallum
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David Allchurch
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David Yovichic
HICL Infrastructure Company Limited
HICL Infrastructure Company Limited ("HICL" or the "Company", and together with its subsidiaries the "HICL Group") is a long-term investor in infrastructure assets which are predominantly operational and yielding steady returns. It was the first infrastructure investment company to be listed on the London Stock Exchange.
With a current portfolio of 116 infrastructure investments, HICL is seeking further suitable opportunities, which are positioned at the lower end of the risk spectrum, in three target markets segments: PPP projects; regulated assets; and demand-based assets.
Further details can be found on the HICL website www.hicl.com.
Investment Adviser (InfraRed Capital Partners)
The Investment Adviser to HICL is InfraRed Capital Partners Limited ("InfraRed") which has successfully invested in over 200 infrastructure projects since 1997. InfraRed is a leading international investment manager focused on infrastructure and real estate. It operates worldwide from offices in London, Hong Kong, New York, Seoul and Sydney. With over 130 professionals it manages in excess of US$10bn of equity capital in multiple private and listed funds, primarily for institutional investors across the globe. InfraRed is authorised and regulated by the Financial Conduct Authority.
The infrastructure investment team at InfraRed consists of approximately 70 investment professionals, all with an infrastructure investment background and a broad range of relevant skills, including private equity, structured finance, construction, renewable energy and facilities management.
InfraRed implements best-in-class practices to underpin asset management and investment decisions, promotes ethical behaviour and has established community engagement initiatives to support good causes in the wider community. InfraRed is a signatory of the Principles of Responsible Investment.
Further details can be found on InfraRed's website www.ircp.com.
