Last checked at 
11 Mar 2015 08:53
This replaces announcement number 1016H released at 07.00 GMT on 11 March 2015. The final paragraph has been amended to note that "INPP expects to provide up to an additional c.£70 million funding to the remaining four batches."
11 March 2015
INPP reaches financial close on first Priority School Building Programme 'Aggregator' funding tranche
International Public Partnerships Limited ('the Company', 'INPP') is pleased to announce that the Amber Consortium, of which INPP is part, has reached financial close on the first privately financed batch of five batches of schools being delivered through the Priority Schools Building Programme (PSBP).
The project uses a unique financing model based upon the establishment of a funding vehicle known as the 'Aggregator'. One of the key features of the Aggregator is the ability to warehouse loans and thereby aggregate total financing requirements across all five schools batches.
The first tranche of funding will support the development of six primary and six secondary schools on existing sites across the North East of England. The total capital expenditure on the schools is £113 million, with the Aggregator providing £102 million, of which the Company will fund approximately £8 million. The residual funding will be provided by the project sponsors including Galliford Try PLC, Infrastructure Investments Holdings Limited (advised by Infrared Capital Partner Limited) and IUK Investments Limited (HMT).
The PSBP is a centrally managed government programme set up to address the needs of the schools most in need of urgent repair. Through the programme, 260 schools will be rebuilt or have their condition needs met by the Education Funding Agency (EFA), with all schools within the programme delivered by the end of 2017. As part of the programme, 46 schools in five batches with a value of circa £700 million are being delivered via private finance funding using the PF2 structure - the government's new approach to private finance.
The Aggregator is financed by the Amber Consortium, which includes INPP and Aviva Investors, with European Investment Bank also providing senior debt.
INPP expects to provide up to an additional c.£70 million funding to the remaining four batches. Financial close of these schemes is expected in the course of 2015.
For further information:
Erica Sibree +44 (0)20 7939 0558Amber Fund Management Limited
Nick Westlake/Hugh Jonathan +44 (0)20 7260 1345/1263Numis Securities
Ed Berry/Mitch Barltrop +44 (0)20 3 727 1046 / 1039FTI Consulting
Notes to Editors:
About the Priority Schools Rebuilding Programme
Further information about the programme is available at www.gov.uk/government/publications/psbp-overview/priority-school-building-programme.
About International Public Partnerships (INPP):
International Public Partnerships (INPP) is a listed infrastructure investment company which invests in global public infrastructure projects developed under the public private partnerships (PPP), private finance initiative (PFI), regulated asset and other similar procurement methods.
Listed in 2006, INPP is a long-term investor in 112 social and transport infrastructure projects, including schools, hospitals, courts, police headquarters, transport and utility and transmission projects in the U.K., Europe, Australia and Canada. INPP seeks to provide its shareholders with both a long-term yield and capital growth through investment across both construction and operational phases of 25-40 year concessions.
Amber Infrastructure Group (Amber) is the Investment Advisor to INPP and consists of over 80 dedicated staff who manage, advise on and originate projects for INPP.