LONDON (Alliance News) - Infrastructure India PLC on Thursday said it has entered into a revised management, valuation and portfolio services agreement with Franklin Park Management LLC.
Under the new deal, Infrastructure India said it will pay less in annual cash fees to Franklin Park, though the other terms of the agreement are unchanged from those of the prior deal between the two parties.
The new agreement replaces an earlier agreement with Franklin Park, effectively reappointing Franklin Park to provide investment advisory, valuation and portfolio services on an exclusive basis to Infrastructure India.
Franklin Park is entitled to a fixed annual management fee of GBP5.5 million per annum payable quarterly in arrears under the new deal, and will be issued with 605,716 shares in Infrastructure India annually. The shares will be issued free of charge on July 1 of each calendar year for the duration of the new agreement.
Under the previous agreement, Franklin Park had been entitled to an annual management fee of 2.0% of the value of the group's assets less adjustment for the increase in assets purchased from the proceeds of Infrastructure India's placing in 2014.
Shares in Infrastructure India were untraded on Thursday, having last traded at 11.25 pence.
By Hannah Boland; hannahboland@alliancenews.com; @Hannaheboland
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Infra.india (IIP)