In QuotedData’s morning briefing 9 June 2023:
- International Public Partnerships (INPP) has reached financial close on its acquisition of five New Zealand availability revenue-based social infrastructure investments (as announced on 9 December 2022), following regulatory approval from New Zealand’s Overseas Investment Office (‘OIO’). These are INPP’s first New Zealand investments and the c.NZD 218m (c.£108m) portfolio provides the company with 100% ownership of all five assets.
- The bidder for Civitas Social Housing (CSH), CK Assets, has brought forward the offer process, with a shareholder vote now taking place on 23 June (not 21 July). The bid company has been building up its shareholding since the offer was announced in early May and now owns 17.05% of the company.
- Regional REIT (RGL) has published the results of a tenant survey that shows that employees among its regional office tenant base (accounting for around 24,000 people) are in the office on average 4.2 days a week. Stephen Inglis, manager, says that the survey “demonstrates clearly that ‘the office’ is an integral part of business life, particularly in the regional markets of the UK”.
- LXi REIT (LXI) has sold a retail park in St Albans to a UK institution for £31m, equating to a net initial yield of 4.7%. The property is let to B&Q (62% of rent), Aldi (28% of rent) and Costa (10% of rent) and has a weighted average unexpired lease term of 18 years. The company acquired the property through a forward funded purchase for £24m in 2019. The sale price is in line with the 31 March 2023 book value, having been held for sale, and generates an IRR of 11%. The proceeds are anticipated to be used to reduce leverage and, potentially, to be invested into higher yielding investments.
- Marwyn Value Investors’ (MVI) portfolio company, AdvancedAdvT (AdvT), has announced that it has conditionally agreed to acquire five software businesses from Capita Plc for a combined enterprise value of approximately £33m in cash, funded by AdvT’s cash reserves. AdvT reports that in addition to organic growth, the acquisitions will create a platform to develop the company by exploring growth opportunities in synergistic sectors and by targeted investment and M&A activities. AdvT announced that in the year ended 31 December 2022, the acquisitions generated a total revenue of approximately £35 million, with approximately 74% of the revenue being recurring or from Software-as-a-Service (SaaS). The acquisitions are subject to and conditional upon National Security and Investment Act approval. The acquisitions, if completed, would constitute a reverse takeover under the Listing Rules. As AdvT is currently unable to provide full disclosure the Financial Conduct Authority has suspended AdvT’s listing at its request, pending publication of a prospectus providing further detail. In the event the acquisitions do not proceed, AdvT will seek the lifting of its suspension.
We also have proposals from The Investment Company on its future, and good news for a Syncona holding