LONDON (Alliance News) - GCP Infrastructure Investments Ltd Friday said it has completed a deal to refinance 14 operational public finance initiative projects.
The listed infrastructure fund said it has subscribed for a loan note with an expected term of about 27 years and an initial value of GBP73.2 million, in a refinancing of GBP58.0 million par value of subordinated loan notes previously held by the company. That results in a net new investment of GBP15.2 million.
"The loan note is secured on a cross-collateralised basis against 14 separate operational PFI projects, all of which were previously charged on a subordinated basis to the company," GCP said.
The projects are in the healthcare, education, leisure, courts and emergency service sectors.
The loan note will be issued by GCP Programme Funding Ltd. The acquisition of the loan note was financed with the company's existing cash reserves.
GCP shares were down 0.1% at 115.94 pence on Friday.
By Samuel Agini; samagini@alliancenews.com; @samuelagini
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GCP Infrastructure Investments (GCP)