Pre-close period briefing
3i Infrastructure Limited ("3i Infrastructure", or "the Company"), an investment company focusing on infrastructure investment opportunities globally, today provides a pre-close update ahead of its interim results for the period ending 30 September 2007, which are expected to be announced on 22 November 2007.
Peter Sedgwick, Chairman of 3i Infrastructure, said: "3i Infrastructure has made good progress towards delivering the targets set out at IPO. Over half of the equity raised at IPO has already been invested in a portfolio of geographically diversified assets, confirming the benefits of the Company's access to 3i's international network. The assets in our portfolio are performing well and are generating returns in line with expectations."
Of the £700 million raised at IPO, 3i Infrastructure has invested a total of £357 million in the period to 31 August 2007. This includes the £234 million acquisition of its initial portfolio from 3i Group at flotation.
The largest investment, after the purchase of the initial portfolio, in the period to 31 August was the acquisition of a 45 per cent interest in three Oiltanking GmbH subsidiaries ("the OT Companies") - Oiltanking Singapore Limited, Oiltanking Amsterdam BV and Oiltanking Malta Limited - which provide oil and chemical storage facilities. The consideration for the asset comprised €115 million equity from 3i Infrastructure. The transaction completed on 3 August 2007 and the investment team has already established an excellent working relationship with the existing management of the OT Companies.
While no significant investments have been made by the Company since the publication of the Interim Management Statement on 17 August 2007, since that date 3i Infrastructure has committed US$250 million to the 3i India Infrastructure Fund ("the Fund"), to access opportunities in the rapidly growing Indian infrastructure market. The commitment was approved by the Company's shareholders at an Extraordinary General Meeting on 10 September 2007 and is deemed to be an attractive opportunity to gain access to a diversified pool of quality assets in the Indian infrastructure market. The Fund has built a strong pipeline of activity and has been funded in anticipation of investing in the near future.
Returns for the period to 31 August 2007 are in line with our expectations. An important element in the determination of the results for the period to 30 September 2007 will be the valuation exercise carried out on the investment portfolio at that date. On 22 November 2007 3i Infrastructure will issue interim results for the period to 30 September 2007, including the net asset value as at 30 September 2007.
3. Inclusion in the FTSE 250 and FTSE
All-Share indices On 24 September 2007 3i Infrastructure became a constituent of the FTSE 250 Index and FTSE All-Share Index.
4. Developments at Investment Adviser
The Investment Advisory team has continued to strengthen its capabilities in the UK and internationally and has grown the investment team, with the recruitment of five new investment professionals, one in the UK, three in India and one in Frankfurt, all of whom are focussed on infrastructure investing.
For further information please contact:
Michael Queen Managing Partner, Infrastructure, 3i Group plc +44 20 7975 3572
Silvia Santoro Investor Relations +44 20 7975 3258
Jennifer Letki 3i Press Office +44 20 7975 3190
Lydia Pretzlik Maitland +44 20 7379 5151
NOTES TO EDITORS
This statement aims to give an indication of 3i Infrastructure's performance and development from incorporation to 28 September 2007. These indications reflect the Board's current view. They are subject to a number of risks and uncertainties and could change. In particular, an important element in the determination of the Company's results for the period to 30 September 2007 is the detailed valuation exercise carried out on its investment portfolio as at that date. The final results for the period to 30 September 2007, due to be reported on 22 November 2007, may differ accordingly. Factors which could cause or contribute to such differences include, but are not limited to, general economic and market conditions and specific factors affecting the financial prospects or performance of individual investments within 3i Infrastructure's portfolio.
This press release is not for distribution (directly or indirectly) in or to the United States, Canada, Australia or Japan and is not an offer of securities for sale in or into the United States, Canada, Australia or Japan. Securities may not be offered or sold in the United States absent registration under the U.S. Securities Act of 1933, as amended (the "Securities Act"), or an exemption from registration under the Securities Act. Any public offering to be made in the United States will be made by means of a prospectus that may be obtained from the issuer or selling security holder and will contain detailed information about 3i Group plc, 3i Infrastructure Limited, 3i India Infrastructure Fund and management, as applicable, as well as financial statements. No public offering in the United States is currently contemplated.
About 3i Infrastructure Limited
3i Infrastructure is a Jersey-incorporated, public close-ended investment company. Its purpose is to build a diversified portfolio of infrastructure investments for investors. 3i Infrastructure was incorporated on 16 January 2007 and listed on the London Stock Exchange on 13 March 2007.