We could not find any results for:
Make sure your spelling is correct or try broadening your search.
Customisable watchlists with full streaming quotes from leading exchanges, such as LSE, NASDAQ, NYSE, AMEX, Bovespa, BIT and more.
| Share Name | Share Symbol | Market | Stock Type |
|---|---|---|---|
| Gcp Infrastructure Investments Limited | GCP | London | Ordinary Share |
| Price Change | Price Change % | Share Price | Last Trade
|
|
|---|---|---|---|---|
| 1.10 | 1.47% | 75.80 | 16:35:08 |
| Open Price | Low Price | High Price | Close Price | Previous Close |
|---|---|---|---|---|
| 75.00 | 75.00 | 75.90 | 75.80 | 74.70 |
| Industry Sector |
|---|
| EQUITY INVESTMENT INSTRUMENTS |
| Top Posts |
|---|
Posted at 27/2/2024 16:12 by spangle93 ‘Having been speaking to shareholders and potential shareholders it appears the uncertainty around the refinancing has been an issue making investors wary of the fund, and it has probably been a factor weighing on the discount,’ said Iain Scouller, analyst at Stifel, GCP’s broker.‘We hope the clarity provided by this three-year facility and the board’s determination to delever and return cash to investors may create some demand for the shares and narrow the discount,’ he said, rating the fund a ‘buy’ with a 95p fair value. The shares stand at 71.3p. |
Posted at 20/2/2024 10:40 by hpcg Surely the real net debt is more like £87mn because the quarterly dividend cost is £15mn and it is paid out in early March so it must be largely in by now. One the other hand what this does demonstrate is just how much capability the company would have in reducing its debt if it redirected dividends. On the other hand if we look at the actual interest payable on the revolver then it comes to £6.9mn per year for £96mn at 7.18%. In other words really not significant at all, and certainly not enough for the emotional stress it would cause some investors if there was any cut or missed quarter. On the other hand a risk free 7.18% is good enough to direct excess coverage to reducing the amount in the revolver. |
Posted at 12/2/2024 14:24 by speedsgh New Edison flash note...GCP Infrastructure Investments: Key takeaways from capital markets day - GCP Infrastructure Investments (GCP) has a mature, diverse and operational portfolio of 51 UK infrastructure assets with a total asset value of £1.1bn and a net asset value (NAV) of £953m, two-thirds of which is focused on renewables, and 41% of investments by value have some form of inflation protection. The portfolio is also well-positioned to benefit from the global trends of decarbonisation, energy security and population dynamics. The fund’s January capital markets day saw the board and management reconfirm the capital reallocation policy for the coming year, which consists of asset disposals and refinancing to position the fund in the strongest possible position. Capital allocation strategy for 2024 GCP’s capital allocation strategy for 2024 of asset disposals and refinancing is focused on reducing the fund’s leverage position (£104m currently drawn from the fund’s revolving credit facility), returning capital to investors (minimum capital return of £50m in 2024 to shareholders, potentially via share buybacks or tender offer) and rebalancing the portfolio (away from equity towards debt). The total value of the potential asset disposals is c £500m, however the fund has set a base case target of £150m before the end of 2024. The four sectors in which the fund will most actively pursue asset disposals are supported living (£112m total portfolio exposure), onshore wind (£185m total portfolio exposure), rooftop solar (£102m total portfolio exposure) and anaerobic digestion (£99m total portfolio exposure) The overall aim of GCP’s capital re-allocation programme is to cycle out sectors within its portfolio (supported living), reduce NAV volatility to electricity prices, shorten duration (supported living) and refocus the portfolio’s position on debt. Upside of recycling capital from asset disposals The fund is trading at a 35% discount to NAV, the biggest discount in its 13-year history. This largely materialised in 2023 and mirrors the wider investment trust landscape, where discounts have emerged in a rising interest rate environment as investors have been drawn to money market funds and UK gilts over traditional investment trusts. There is potential upside therefore in repositioning the fund through the disposal of assets and then reinvesting capital by buying back stock while the fund is trading at such a significant discount to NAV. As an illustration, even if the select assets were sold at a 20% discount to NAV, there would still be significant upside in recycling the capital, given the fund is trading at a 35% discount. Towards a debt focused portfolio in 2024 The fund trades at a c 10% dividend yield (1.23x covered for the 12 months to 30 September 2023) and offers a potential additional return of 54% if its discount to NAV were to close. On the date of the CMD, GCP highlighted the discount rate implied by the stock price is 18.8%, well above the applied NAV discount rate of 7.7% – for a portfolio that is returning 7.9% and increasingly shifting towards wholly debt investments, this seems surprising. |
Posted at 20/1/2024 08:50 by donald pond On the subject of Gravis selling, they do have a sizeable open ended U.K. infra fund which invests in the sector. The last factsheet showed that it had dropped in size by around £200m last year and most of that was redemptions, so they will have been selling around £7m of GCP and £4/5m of GABI if they've been selling pari passu. I saw yesterday that Schroders Greencoat were launching "semi-liquid" infra funds for institutional investors. Interesting to see if they use funds to build new projects or acquire some of the existing ones trading at huge discounts |
Posted at 13/12/2023 08:36 by speedsgh ~ NAV at 30/9/23: 109.79p (30/9/22: 112.80p)~ Dividend target for 2024 held at 7.00p ~ Plan to realise 15% of portfolio to materially reduce RCF and make a capital return to shareholders of at least £50m by end of 2024. Annual report and financial statements - Andrew Didham, Chairman of GCP Infra, commented: The wider financial market in which the Company operates has continued to face significant challenges. Against a backdrop of increased inflation, higher interest rates and high energy prices, the Company has continued to deliver stable and predictable income for shareholders through its focus on debt investments in infrastructure assets vital to the efficient operation of modern society. The Company generated total profit and comprehensive income for the year of £30.9 million (30 September 2022: £140.3 million) and paid a dividend of 7.0 pence per ordinary share (30 September 2022: 7.0 pence). For the forthcoming financial year, the Company has set a dividend target1 of 7.0 pence per share. At the year end, the Company's share price was 67.70 pence, representing a 38.3% discount2 to NAV (30 September 2022: 97.80 pence, representing a 13.3% discount2 to NAV). The Board believes the discount at which the Company's shares have traded to the stated NAV is not reflective of the strength in the Company's underlying investment portfolio, with the effective yield considerably higher than the discount rate on investments determined by the independent Valuation Agent. Underlying portfolio performance also remains strong, with loans continuing to be serviced. The Board and the Investment Adviser are committed to the Company's intentions to re-allocate capital towards reducing gearing, buying back shares while they remain an attractive investment opportunity and disposing of assets to rebalance the portfolio and generate funds. Subject to market conditions and the ability to agree acceptable terms, the Board has adopted a capital allocation policy of realising c.15% (£150 million) of the portfolio to rebalance sectors and reduce equity exposures, and to apply the funds towards a material reduction in the RCF and facilitate the return of capital to shareholders of at least £50 million before the end of the calendar year 2024, whilst maintaining the dividend target1. The Board believes that this capital allocation policy will underline the Company's position as a leading investor in infrastructure debt, with a strong focus on sustainable investments. |
Posted at 02/11/2023 16:12 by donald pond FWIW i've known Gravis for ages and I trust them. They launched a fund, about a decade ago, to invest in middle eastern infrastructure. They raised all the money and were ready to go but then they realised that they "other side" expected payments which were unreasonable. Rather than do this, they wound up the fund, returned the subscription monies in full to investors, and swallowed the costs themselves. Which were into seven figures.Everyone involved in it has always, to my knowledge, tried to do the right thing. And Phil Kent is exceptionally diligent. |
Posted at 23/10/2023 07:46 by speedsgh Company update and net asset value(s) - Net Asset Value GCP Infra announces that at close of business on 30 September 2023, the unaudited net asset value per ordinary share of the Company was 109.79 pence (30 June 2023: 110.02 pence), a decrease of 0.23 pence per ordinary share. The net asset value takes into account cash, other assets, accrued liabilities and expenses and leverage of the Company attributable to the ordinary share class. As announced on 15 May 2023, the Company completed a refinancing of two existing loan notes secured against two waste-wood biomass projects, valued at c. £85 million as at 31 March 2023 and committed to a new £50 million loan note as part of a syndicated facility supporting the same, and one additional, biomass project. Including prepayment fees and valuation impacts totalling c. £10 million, this refinancing generated £50 million of net cash proceeds that were used to repay the Company's revolving credit facility and led to a c. 1.2 pence per ordinary share uplift to the Company's net asset value, predominantly from prepayment fee income received. At 30 September 2023, the Company had £104 million (30 June 2023: £154 million) outstanding under its revolving credit arrangements. A period of very low wind speeds and exceptionally dry weather in England and Scotland has decreased actual cash distributions to the Company from its renewables investment portfolio, negatively contributing c. 1.2 pence per ordinary share to the movement. Further reductions in electricity prices continue to decrease actual and forecast cash distributions to the Company from its renewables investment portfolio driven by decreases in short-term power prices as a result of lower European gas demand, an ample supply of LNG, unseasonably mild weather and significant reductions in UK carbon prices leading to a wider price disconnect between the UK emissions trading scheme and the equivalent EU scheme. This is partially offset by the positive performance of the Company's hedging arrangements, therefore overall net movements negatively contributed c. 0.5 pence per ordinary share. Various other downward movements across the portfolio totalled c. 0.4 pence per ordinary share, offset by updates for actual inflation that contributed c. 0.7 pence per ordinary share. As advised by the Company's independent valuation agent, discount rates remained unchanged this quarter, following the c.40bps increase in the weighted average discount rate used by the Company to value its portfolio at 30 June 2023... ... Portfolio Notwithstanding the lower electricity price forecasts, the portfolio continues to perform materially in line with the Company's expectations. The Company's mature, diverse and operational portfolio provides defensive access to income against a backdrop of market volatility and uncertainty. It is the view of the Company that the long-term and structural demand for infrastructure, and particularly infrastructure debt, offers investors an attractive exposure to an asset class whose performance is non-correlated to wider markets and benefits from long-term and partially inflation protected income. Further portfolio information is available at: www.graviscapital.co |
Posted at 18/9/2023 10:20 by hpcg GABI up on the introduction of a continuation vote I would say. A wind up is attractive for a short duration book. The discounts in neither make sense in absolute terms, in my opinion it is more the lack of obvious buyers. The distribution isn't sufficient for FI type investors, by which I mean funds, who are happy with conventional assets. Some funds are probably still sellers. Equity funds have never been investors. So it leaves hedge funds and private investors seeking income. The latter, especially those with long horizons, are happy with interest rate risk, credit risk and like the premium over short or long term rates depending on the fund. There is the potential for discount reduction, but that needs to see bank rates come down. A wind up offers, at least for short term debts, the prospect of the discount being closed rapidly, and suddenly value funds, conventional and hedge can see a path to excess returns. |
Posted at 06/9/2023 09:52 by donald pond From liberum today. I think the conclusion is probably correct. When there is no origination possible fees need to be cut.GCP Infrastructure Investments called off the proposed merger with RM Infrastructure Income as the two parties were unable to agree on a structure and terms for the merger acceptable to both sides. However, the proposed merger between GCP Infrastructure Investments and GCP Asset Backed Income that was announced on 11 August remains on track. Heads of terms for that merger have been agreed and a shareholder feedback exercise is being conducted. A circular to shareholders providing further details of the proposed merger between GCP and GABI is expected to be published in due course.RMII has proposed a managed wind-down of the fund in response to the failed merger with GCP, citing "differing views" by shareholders on the merits of a potential combination against a managed wind-down. Given the failed merger talks, the small scale of the fund, its persistent discount to NAV and the limited liquidity of the shares, the board assesses that the best option forward is a managed wind-down of the fund. This will result in an orderly realisation of the company's underlying assets, with capital returned to shareholders as the loans are repaid and its equity and warrant assets are realised. The company will retain the ability to extend loan maturities or provide further funding to existing borrowers where the board considers that doing so will maximise the return to shareholders.The company listing will be maintained during the realisation period and the board intends to maintain its current target level of dividend until the commencement of the orderly realisation. The board intends to publish a shareholder circular by the end of October 2023 to convene a general meeting to approve the managed wind-down. Prior to the publication of this circular, the investment manager will explore the possibility of offering an opportunity for shareholders to roll over their investments into an alternative fund structure to be managed by the investment manager.Liberum viewWe are not surprised by this morning's announcement that the proposed GCP / RMII merger will not go ahead. With RMII's shares trading on a narrower discount and the short-term nature of the loan book (less than 2 years), we believe an orderly wind down will result in a better IRR for shareholders. The uncertainty around the GCP and GABI merger also made it more challenging for RMII shareholders to get on board with the proposals from GCP. Performance of the underlying portfolio has generally been robust, so we would expect capital returns close to NAV should be achievable, with an attractive 9.4% dividend yield in the meantime.Focus now shifts to the proposed GCP / GABI merger, which we believe remains in the balance, with shareholders split on the initial terms proposed by the board. Whilst we welcome both boards taking an active approach to addressing the discounts on which both funds trade, we think improved terms are required to achieve more widespread support from investors. Our view is that more can be done on the ongoing fee structure of the enlarged company and there should also be an opportunity for a larger return of capital, preferably at NAV (less costs). M&A is clearly going to be a big and important theme in the investment company sector over the next 12-18 months, but any deals need to go further than just merging to simply create a larger vehicle. Investors will want to see improved terms and structures, which will be far more effective at narrowing discounts than marginally improved liquidity |
Posted at 19/7/2023 16:49 by ec2 Borne out in today's price action are the points made in my most recent posts on this thread. 1) Post 634 That investors need to look beyond short term interest rate expectations and look at what's on the other side. 2) Post 550 That the present interest rate paranoia was throwing up opportunities in long duration assets. Turning the corner on interest rate rises is still some way off but today's share price rises particular across real assets gives an insight into how these asset prices could suddenly take off when investors become more forward looking. I think when investors in 18 months time look back at certain current real asset prices they will realise what a great once in a lifetime buying opportunity existed. |
It looks like you are not logged in. Click the button below to log in and keep track of your recent history.
Support: +44 (0) 203 8794 460 | support@advfn.com
By accessing the services available at ADVFN you are agreeing to be bound by ADVFN's Terms & Conditions
Hot Features
Premium
