In QuotedData’s morning briefing 24 July 2023:
- Alliance Trust (ATST) has added a new stock picker to its roster, bringing the total to 10. ATST’s investment manager Willis Towers Watson has appointed Dalton Investments, a value-focused Japanese specialist, which will receive 4% of ATST’s capital. Craig Baker, chairman of WTW’s investment committee, said: “Following extensive corporate governance reforms, we believe the Japanese corporate sector is on the cusp of a long-term revival, but it is a unique market which requires specialist, active manager skills to navigate and tap its potential.”
- 3i Infrastructure (3IN) has announced its intention to sell its c.25% stake in Attero, one of the largest waste treatment and recycling companies in the Netherlands, to Ardian Infrastructure. 3IN expects net proceeds of €215m, which would be a c.31% uplift from its 31 March 2023 valuation. The sale proceeds will be used to partially repay drawings on 3IN’s revolving credit facility.
- Greencoat UK Wind (UKW) has announced that, together with other funds managed by Schroders Greencoat, it has agreed to acquire a 25% stake in London Array offshore wind farm from Orsted for a consideration of £717m. London Array has a total capacity of 630MW. The deal is expected to be completed on 31 July 2023, and UKW itself will contribute £444m, financed by using £394m in equity and £50m in debt.
- Urban Logistics REIT (SHED) has put in place £57m of new debt on fixed rate terms, refinancing existing floating rate debt. The facility, with Aviva Investors, means the company has £367m of drawn debt and a further £51m undrawn, at an all-in rate of 4.2% and an average maturity of 6.0 years (93% fixed or hedged). In a trading update the company said it had sold two assets for £15m, at a 3.4% premium to the March 2023 valuation. It has also secured four new lettings in the quarter to the end of June, generating £0.85m of annual rent, and two rent reviews at an average uplift of 20%. Following the administration of Tuffnell’s, one of SHED’s top 10 tenants accounting for 3.3% of rent, nine of the 12 leases to the company are being re-assigned on the same terms to DX Group. The three smaller units (representing 0.45% of the rent roll) are being actively marketed, the company said.