3i Infrastructure To Buy 80% Of Paris' La Santé PPP Project For EUR 11.7 Mln
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11/14/2014 4:29 AM ET
3i Infrastructure Plc (3IN.L), a closed-ended investment company, Friday announced that it has committed to invest 11.7 million euros to acquire an 80 percent holding in the La Santé Prison primary Public Private Partnership project in Paris.
The project includes the design, build, refurbishment, finance and maintenance of various buildings for La Santé, the Paris prison. The Project will also include the provision of facilities management services once construction is complete, which is expected to be by the end of 2018.
The company noted that the Project was procured under a typical PPP framework by the Agence Publique pour l'immobilier de la Justice, part of the Ministry of Justice, and is part of a wider government initiative to modernise French prisons.
The remaining equity in the Project company, Quartier Santé S.A.S, will be held by subsidiaries of Vinci Construction France and GDF-Suez.
As part of the contractual arrangements for its commitment to invest in the Project, 3i Infrastructure has entered into an agreement with BAM General Partner Limited, a subsidiary of 3i Group plc (III.L). The unit has agreed to transfer to 3i Infrastructure its 80 percent shareholding in the Project Company. The consideration for such transfer amounts to 32 thousand euros.
Peter Sedgwick, Chairman, 3i Infrastructure, said, "The Board is pleased with the investment in La Santé, which represents a further step in building the Company's exposure to primary PPP projects, alongside its focus on investing in Core infrastructure."
In London, 3i Infrastructure shares were losing 0.26 percent, and trading at 151.30 pence.