(Alliance News) - 3i Infrastructure PLC said Thursday its portfolio continues to perform in line with expectations and delivered a "good level" of income in the first quarter.
The infrastructure investor - which is 33% owned by FTSE 100-listed private equity firm 3i Group PLC - said its total portfolio income and non-income cash was GBP28.2 million in the period from April 1 to June 30.
The level of income seen in the period means the company is on track to cover its target dividend.
3i will pay a 4.325 pence per share final dividend for financial 2019, meaning it achieved its targeted payout of 8.65p for the full year. For the current financial year, the firm is targeting a 9.20 pence per share full-year dividend.
During the period, 3i Infrastructure acquired a 100% stake in Dutch energy infrastructure equipment and services firm Joulz for EUR220 million. French investee company Valorem also acquired a 51% stake in hydro power plants developer and operator Force Hydraulique Antillaise SAS in the first quarter.
Investment Manager Phil White said: "Our strategy is to maintain a balanced portfolio of investments that deliver an attractive yield and capital appreciation to shareholders. During the period, we have strengthened our portfolio with a bolt-on transaction for Valorem and the completion of our acquisition of Joulz, both of which give us exposure to exciting new growth opportunities through increased electrification particularly from renewable resources.
"Looking ahead, we are working on a healthy pipeline of potential investments across our target markets."
3i Infrastructure noted it has liquidity for "investing activity". The firm's cash balance at June 30 was GBP53.1 million and has an undrawn balance of its revolving credit facility of GBP283.0 million - with an additional GBP200 million available through an accordion feature.
Shares in 3i Infrastructure were flat in London Thursday morning at 299.93 pence each.
3i Group (III)
3i Infrastructure (3IN)