John Laing Infrastructure Fund has signed a Sale and Purchase Agreement with John Laing Infrastructure Limited (a wholly-owned subsidiary of John Laing Group plc) in respect of the acquisition of a 100% interest in the A55 Llandegai to Holyhead road PPP project. The A55, running from Holyhead across north Wales, forms part of the Trans-European Transport Network, providing a vital connection between the Republic of Ireland, the United Kingdom and ultimately Continental Europe.
The acquisition is being made under the First Offer Agreement between John Laing and John Laing Infrastructure Fund. The consideration for the acquisition is approximately GBP28.3 million and completion is subject to the customary consents. The consideration will be funded through a combination of cash and by drawing on the fund’s GBP180 million multi-currency revolving credit facility.
The transaction represents their fifth highway investment in the United Kingdom and will bring the total number of assets in the portfolio to 61.
Andrew Charlesworth from John Laing Capital Management, the Investment Adviser, said: “John Laing Infrastructure Fund is pleased to have secured a 100% interest in this UK-based, operational road PPP project. The project benefits from a long operating history and shadow toll mechanism which reduces the sensitivity to variation in traffic volumes. John Laing Infrastructure Fund is confident in the level of prudence in this regard with its assumptions of forecast revenues and costs.”
JLIF : John Laing Infrastructure buys A55 in Wales