BBGI invests in Canadian hospital – BBGI SICAV S.A. says that it has now completed its investment in the McGill University Health Centre, an investment made through the existing strategic partnership between it and SNC-Lavalin Group Inc. (that was announced last year). The asset, as described below, is classified as availability-based under the investment policy of the company.
McGill University Health Centre is a 214,000 m2 hospital with 500 private patient rooms located in Montreal, Quebec. The project became operational in 2014 and the concession runs until 2044. Availability payments are received from McGill University Health Centre, which is rated A (high) by the credit rating agency DBRS.
The cash consideration for the interest acquired has been funded from the company’s existing cash resources and drawings under its extended credit facility. This marks the fifth transfer by SNC-Lavalin into the Partnership. The total cash consideration paid for all five project interests previously announced is approximately CA$191 million.
Following the acquisition of the additional project interest, BBGI owns a diversified global portfolio of 44 infrastructure assets spread across six AAA/AA rated countries. All these projects are availability based PPP assets and are supported by contracted, public sector-backed revenue streams, with inflation-protection characteristics.
In addition, the company has the benefit of a pipeline agreement with the Partnership which should provide access to a robust pipeline of availability based PPP assets in Canada which are currently under construction. These assets include the Highway 407 East Extension Phase I (Ontario), the Confederation Line (Ottawa, ON), the John Hart Generating Station (Campbell River, BC), the New Corridor for the Champlain Bridge (Montreal, QC), and the Eglinton Crosstown LRT (Toronto, ON).
BBGI : BBGI invests in Canadian hospital