LONDON (Alliance News) - John Laing Group PLC on Wednesday said it has agreed to sell an investment advisory agreement to Foresight Group CI Ltd.
The advisory agreement is between John Laing Capital Management Ltd and John Laing Environmental Assets Group Ltd. Terms of the sale to Foresight have not been disclosed.
The deal follows the acquisition of John Laing Infrastructure Fund Ltd by Jura Acquisition Ltd in October 20118.
John Laing - an originator, investor, and manager of infrastructure projects - has now agreed to sell its remaining fund management activities through the sale of the investment advisory agreement and transfer of the investment advisory team to Foresight.
"The sale will allow the company to concentrate its focus on the core business of investment in and active management of greenfield infrastructure projects and is expected to complete at the end of June 2019," said John Laing.
As such, John Laing EA has now changed its investment adviser to Foresight from John Laing CM. John Laing EA's advisory team at John Laing CM, having been transferred to Foresight, will continue to advice John Laing EA.
"The material terms, fees and provisions of the new investment advisory agreement are the same as the existing investment advisory agreement," said John Laing EA.
Once the deal is complete, Foresight will have GBP4 billion of assets under management. John Laing EA plans to put forward a resolution to change the company name so as not to include "John Laing".
John Laing EA Chair Richard Morse said: "We hold Foresight Group in high regard as a successful and experienced funds management platform with a track record of investment in environmental infrastructure asset classes. We look forward to working with them as our investment advisory team is transferred to them from John Laing and as we continue to seek to enhance and grow our portfolio of environmental assets in the interests of shareholders."
Foresight Solar Fund Ltd, of which Foresight is asset manager, said it was pleased with the investment advisory agreement sale. Foresight SF expects no harm will come to its own performance as a result of the sale, due to a "limited overlap in investment mandates" between Foresight SF and John Laing EA.
Shares in John Laing were down 2.1% at 369.00 pence on Wednesday afternoon. Shares in Foresight SF were down 0.4% at 118.00p and shares in John Laing EA were up 0.4% at 115.50p.
