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HICL buys another 45pc chunk of schools project from Galliford Try
Infrastructure investor HICL Infrastructure Company has acquired an incremental 45% interest in the Priority Schools Building Programme North East Batch Project from Galliford Try, it announced on Monday.
The FTSE 250 firm said the consideration of around £9m was funded from its revolving credit facility.
As a result of the transaction, HICL now held a 90% interest in the project.
"The project is a 25-year availability-based public-private partnership to design, build, finance and maintain six secondary schools and six primary schools in the northeast of England," HICL's board said in its statement.
The firm said financial close was in March 2015, and the facilities were now fully operational.
"The project is part of the wider Priority Schools Building Programme, a central government initiative set up to address the schools most in need of urgent repair.
"Hard FM services, as well as lifecycle replacement for the buildings' fabric and certain furniture, fittings and equipment, are being provided by a subsidiary of Galliford Try."
As a public-private partnership, HICL said the project fit within a core target market segment within its stated acquisition strategy.
It said the investment was accretive to its existing portfolio, and was sourced through its adviser InfraRed's long-standing relationship with Galliford Try.