HICL Infrastructure Regulatory News (HICL)

1 July 2013

HICL Infrastructure Company Limited

Acquisition of four new investments

HICL Infrastructure Company Limited (the "Company", and together with its subsidiaries the "Group"), the leading listed infrastructure investment company, is pleased to announce that it has completed the acquisition of four new investments for a combined consideration of £107.9m.

These are: a 50% equity and loan note interest in the Salford Hospital PFI Project from Balfour Beatty Infrastructure Investments Limited, a subsidiary of Balfour Beatty plc; a 33.33% equity and loan note interest in the Miles Platting Social Housing PFI Project from a subsidiary of Morgan Sindall plc; a 75% equity and loan note interest in the Gloucester Fire & Rescue PFI Project from subsidiaries of Kier plc, Cardon Croft Limited and Capita plc ("Capita"); and a 12.5% equity and loan note interest in the Allenby & Connaught Ministry of Defence ("MoD") PFI Project from a subsidiary of Carillion plc ("Carillion").

p The Salford Hospital PFI Project is a 35 year concession, procured by the Salford Royal NHS Foundation Trust, to design, construct and commission new-build hospital facilities and associated site infrastructure in Salford, Greater Manchester. The project reached financial close in 2007 and construction of the new facilities, which was undertaken by Balfour Beatty Construction Limited, was completed in 2012. Balfour Beatty WorkPlace is providing hard facilities management ("FM") services to the project.

p The Miles Platting Social Housing PFI Project is a 30 year concession, procured by the City of Manchester Council, to redesign and refurbish approximately 1,500 occupied properties, as well as to build 20 new extra care homes and 11 new family homes in Miles Platting, Manchester. The project reached financial close in 2007 and construction, which was undertaken by Lovell Partnerships Limited (a Morgan Sindall subsidiary), was completed in 2012. Adactus Housing Association Limited is responsible for providing the on-going management and maintenance of the properties.

p The Gloucester Fire & Rescue PFI Project is a 26 year concession, procured by the Gloucester Fire Authority, to finance, design, construct and subsequently operate and maintain four community fire stations and a "SkillZone" in Gloucestershire. The project reached financial close in 2011 and construction of the new facilities, which was undertaken by Kier Construction Limited, was completed in 2012. Tascor Services Limited, a subsidiary of Capita, is providing FM services to the project.

p The Allenby & Connaught MoD PFI Project is a 35 year concession to design, build and finance new and refurbished MoD accommodation across four garrisons on Salisbury Plain, comprising working, leisure and living quarters as well as ancillary buildings. The Project reached financial close in April 2006 and construction is being undertaken by a joint venture between subsidiaries of Carillion and KBR Holdings LLC ("KBR"). Some limited works remain to be delivered over the next 12 months to complete the construction obligations of the project. A services joint venture between subsidiaries of Carillion and KBR is providing the FM services to the project.

The consideration paid by the Group for these investments is in line with the current valuations of similar UK social infrastructure projects in the Group's portfolio and brings the total number of investments in the Group's portfolio to 89. The acquisitions were funded from the Group's existing cash and debt resources.

Tony Roper, Head of Secondary Infrastructure at InfraRed Capital Partners Limited (the Company's Investment Adviser), said:

"These acquisitions form part of the exclusive pipeline reported in the Company's Annual Results and are in line with its stated investment strategy.

As a result of these acquisitions, the Company now has a net funding requirement of £85m which is principally financed through drawings under its £100m revolving credit facility. The Company will seek to repay these drawings by way of equity tap issuance, which it has authority to undertake on a non pre-emptive basis, as and when the Directors deem appropriate."

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Enquiries

InfraRed Capital Partners Limited +44 (0) 20 7484 1800

Tony Roper

Keith Pickard

Erwan Fournis

James O'Halloran

David Foot

Robin Hubbard

Tulchan Communications +44 (0) 20 7353 4200

Ed Orlebar

Rebecca Scott

Canaccord Genuity +44 (0) 20 7523 8000

Dominic Waters

Neil Brierley

Will Barnett

David Yovichic

HICL Infrastructure Company Limited

The Company is a long term investor in infrastructure projects which are predominantly in their operating phase and yielding steady returns. It was the first infrastructure investment company to be listed on the London Stock Exchange. It currently owns a portfolio of 89 social and transportation infrastructure investments and is seeking further suitable investment opportunities which fit its stated Investment Strategy.

Further details of the Company can be found on its website www.hicl.com.

Investment Adviser

The Investment Adviser to the Company is InfraRed Capital Partners Limited, whose infrastructure investment team has successfully invested in infrastructure projects since 1997.

InfraRed Capital Partners Limited is authorised and regulated by the Financial Conduct Authority.