LONDON: HICL Infrastructure PLC said Monday it has agreed to sell a portfolio of seven UK public-private partnership (PPP) assets to Dutch pension services provider APG for approximately £225 million, in line with its March 2025 valuation.
The portfolio includes partial stakes in Southmead Hospital and Pinderfields and Pontefract Hospitals, as well as full equity interests in four UK LIFT projects and Edinburgh Schools. The sale proceeds will support HICL’s £150 million share buyback program and fund outstanding equity commitments.
The transaction brings HICL’s total asset disposals over the past two years to roughly £725 million, reinforcing the company’s ability to execute divestments at strong valuations. Completion is expected before Dec. 31, 2025, subject to third-party consents.
Following the sale, HICL’s exposure to healthcare assets will decline from 22% to 16% of its gross portfolio value. InfraRed Capital Partners, HICL’s investment manager, will continue to oversee the assets on behalf of APG under a separately managed account agreement.
Chair Mike Bane said the deal highlights the quality of HICL’s portfolio and its capital allocation strategy. Edward Hunt, Head of Core Income Funds at InfraRed, added that the sale enhances key portfolio metrics and underscores the resilience of infrastructure assets amid market dislocation.
The agreement also includes a partnership framework with APG for potential future divestments and co-investments.