International Public Par... Share Discussion Threads

[seekerofvalue] 28/5/2012 10:53

northernlass, thank you for posting those additional links. Are you holding? The market now appears to be liking INPP's Placing, Open Offer and Offer for Subscription, the longer the share price remains above the offer price the better.

Thanks also for the links to SCLP. They look very promising but unfortunately don't fit with my low risk capital preservation criteria.

[northernlass] 27/5/2012 23:51

New Contract Blows In

NEW CONTRACT BLOWS IN AT INTL PUBLIC PARTNERSHIP

A consortium consisting of quoted infrastructure investment company International Public Partnerships plus Amber Infrastructure and Drapers Gardens has been appointed by Ofgem as the preferred bidder for the long-term licence and operation of a further offshore transmission project.

This is the fifth such project for which the consortium, known as Transmission Capital Partners (TCP), has been appointed as the preferred bidder.

The scheme comprises the transmission cable connection to Lincolnshire Offshore Wind Farm, and is the first project in the second round of tenders to be awarded by Ofgem, the regular for the UK electricity and gas markets.

The five projects now awarded to TCP have an aggregate total investment cost of around £525m, including about £282m for the most recent project, and comprise onshore/offshore sub-stations and under-sea cables connecting the mainland electricity grid network to the offshore wind farms. The revenue term for each project is a minimum 20 years.

The consortium is short-listed for a further two offshore transmission projects, which Ofgem is expected to award later this year.

"Further concessions are expected to be developed as the offshore generation industry expands with a total development value of up to £14bn expected over the next eight years," International PP said.

Source:



P.S.

Here's a couple of links about SCLP, one of the hottest stocks at the moment:

[northernlass] 27/5/2012 23:50

Giles Frost Video Interview

THE PREMIUM APPEAL OF INFRASTRUCTURE INVESTMENT TRUSTS

Infrastructure trusts are trading on an average premium of 5.6%. Giles Frost, director of the International Public Partnerships trust, explains why.

Interview link:

[northernlass] 27/5/2012 23:49

Continues To Perform Well

INPP SAYS ASSET PORTFOLIO CONTINUES TO PERFORM WELL IN JAN 1 TO MAY 15 PERIOD

International Public Partnerships Limited (INPP.L), an infrastructure investment company, on Wednesday said the company's asset portfolio continues to perform well and that revenues and cash receipts are in line with management forecasts.

In an Interim Management Statement, the company, known as INPP, said its portfolio of 119 public infrastructure investments arising from 69 projects continues to perform in line with expectations.

The company noted that the negative effects of forex movements on Net Asset Value would be outweighed by the positive effects of falling risk free rates.

The Board confirmed that it expects to increase distributions in future years at least in line with its long term inflation assumption of 2.5 percent per annum.

"Overall, we continue to remain positive about the prospects for the Company, both in terms of the performance of its existing assets and the opportunity to add high quality assets to the portfolio during the remainder of 2012," the company stated.

Source:

[northernlass] 27/5/2012 23:48

To Fund £170m of Investment

INPP'S PLAN FOR £180M FUNDRAISING IN SECOND QUARTER

International Public Partnerships expects to proceed with a placing, open offer and offer for subscription of new ordinary shares during the second quarter.

The company noted in its annual results published on 19 April, that approximately £170m of investment, representing three current opportunities in respect of which it has exclusivity, have progressed to an advanced stage.

In addition, the company has a strong pipeline of other longer term opportunities.

The proceeds of the fundraising, which is expected to have a target size of £180m, are expected to be used to pay down the company's corporate revolving debt facility and fund the acquisition of the assets in respect of which it has exclusivity, leaving the company with the ability, through the revolving debt facility, to purchase additional accretive assets in the medium term. It is envisaged that a prospectus will be published in May.

Source:

[seekerofvalue] 25/5/2012 14:27

N3tleylucas, I tend to keep my expectations low with the hope of additional upside surprise. What are your solid yielders and how long have you held them?

[n3tleylucas] 25/5/2012 13:46

Don't get me wrong lol ... I'm certainly a big believer in solid yielders mate ... I was just a little amused by your share price commentary LOL ... gl :) (and I read all 71 posts:)

[seekerofvalue] 25/5/2012 13:25

N3tleyLucas, welcome.
The purpose of my commentary is to record a balance of related news on INPP and its sector. If you look at what is deemed to solid "boring yield plays" you will find that most funds and investors are invested in AV, AZN, CNA RDSA UU, VOD and the like. None of which have an extremely narrow trading range. All of which get posts each day on ADVFN and market commentary most weeks.

INPP does not and infrastructure is in my opinion a theme that will provide long-term growth opportunities globally. INPP will after the placing add to its global reach. Therefore increasing its weighting in those emerging markets where growth is decoupled from European woes. I am invested in INPP because of its solid yield and its prospect of additional growth.

Ultimately we all make commentary on ADVFN for different reasons but I am certain that we all make investments for the same reasons.

[n3tleylucas] 25/5/2012 12:41

seeker,
this is clearly a steady, solid "boring" yield play ... so why the near 12 month commentary on an extremely narrow trading range? ... seems a little pointless?

[seekerofvalue] 25/5/2012 12:08

Placing, Open Offer and Offer for Subscription

Issue price of 116.25 pence per New Share, representing a discount of 0.6 per cent. to the Closing Price of 116.9 pence per Existing Ordinary Share as at the close of business on 22 May 2012 and a premium of 0.9 per cent. to the estimated NAV per Existing Ordinary Share of 115.2 pence (as at 17 May 2012)

I will be subscribing just shy of my initial purchase price, for the long-term and hopeful that we should see year end close above £1.20p. My target is of course reliant on how the politicians deal with European woes.

[seekerofvalue] 24/5/2012 11:59

INPP 12 months support line is £1.127p, current price £1.168p a ytd low. The news below is not providing any support, INPP needs to come out with its own good news and quickly.

Ministers ready to back billions of loans for housing and infrastructure investment 24 May 2012


Time for Less Talk and More Action on Infrastructure 23/05/2012


Coalition agrees huge spending boost on infrastructure projects 23 May 2012

[seekerofvalue] 16/5/2012 12:28

INPP is struggling to remain above NAV as investors wait for confirmation of the pricing of the forthcoming fundraising. Which is looking more and more ill-timed given how markets have been behaving since the beginning of April.

Today's IMS is doing nothing to cheer investors.

NAV stable at Intl Public Partnerships
Wed 16 May 2012

- International Public Partnerships (INPP) said its portfolio of public infrastructure investments projects continues to perform in line with expectations in 2012.

After weighing up a number of counter-balancing factors, such as currency fluctuations, the decline in risk free interest rates and the general state of the market, the board reckons that net asset value (NAV) per share is likely to have remained on or around the 116.9p level at which it finished 2011, after allowing for distributions declared.

The company had around £38m of cash available for the payment of distributions and working capital as at May 15th, on top of which it has about £81.9m of net capacity within its corporate debt facility.

The group said the market for infrastructure investment is "strong but evolving", with fewer UK private finance initiative (PFI) projects being developed in the UK, due to the government's attempts to rein back spending. On the plus side, other parts of the world are more than picking up the slack.

The UK market is far from dormant, and there are also a number of opportunities in Australia and Europe, focused on education, transportation and health sectors which the company's investment advisor is actively pursuing.

"Overall, we continue to remain positive about the prospects for the company, both in terms of the performance of its existing assets and the opportunity to add high quality assets to the portfolio during the remainder of 2012," the group's interim management statement concluded.

The shares were down 0.3p to 117.7p in early morning trading.

[seekerofvalue] 08/5/2012 12:42

The expected capital raising is now due this month. The pricing should not be at too harsh a discount. I will be participating in the offer

INPP Statement re Placing and Offer 08:43 08-May-2012


Related news:

JOHN LAING INFRASTRUCTURE FUND INTERIM MANAGEMENT STATEMENT 07:00 08-May-2012



Additional Investment in the Colchester Garrison 07:00 08-May-2012

[seekerofvalue] 30/4/2012 14:18

INPP is trading at the bottom of its recent trading range. share price £1.179p.

Investors appear to be pricing in a forthcoming capital raising announcement, given the comments made within INPP's Annual results on 19/4/12.

"A number of investment opportunities have progressed to an advanced stage and combined with the additional strong investment pipeline, the Board is actively considering a capital raising to support these opportunities. Further details to be provided in due course".

"Taking advantage of the positive investment environment through our healthy pipeline of attractive investment opportunities is critical to the ongoing success of the Company and as such, we are actively considering our options with respect to raising more equity capital".


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By Lucy Meakin - Apr 29, 2012 7:45 AM


Funds gear up to build bridges April 29, 2012 4:53 am
By Steve Johnson


Engineering can save us from drought 8:37PM BST 29 Apr 2012
By James Dyson


Sensible to foster infrastructure spending April 27, 2012 4:55 am
From Prof Stephany Griffith-Jones.

[seekerofvalue] 25/4/2012 11:18

25 April 2012 INPP 2.925 pence per share ex-dividend date. Sp currently £1.184 down 3.10p.

Related news:

Government Is On Track To Cut Cost Of Delivering Infrastructure
Source: HM Treasury
Published Tuesday, April 24, 2012 - 07:17

The Government has today published the first annual report of the three year Infrastructure Cost Review programme launched in March 2011 and led by Infrastructure UK.

The Cost Review set out plans to reduce the cost of delivering infrastructure in the UK by £2 to £3 billion a year by 2015. Today's report confirms that the programme is on track to deliver these savings, with the first annual report having already identified projected savings of up to £1.5 billion through changed behaviours and practice, consistent with the Cost Review principles.

The Commercial Secretary to the Treasury, Lord Sassoon said:

"It is vitally important that utility bill payers and taxpayers get good value for every pound spent on new infrastructure.

"Every pound saved through this Cost Review programme is a pound more that can be spent on new infrastructure for the UK.

"This first annual report shows we are on track to deliver the savings we identified last year.

"What is particularly encouraging is that these savings are being delivered through close and fruitful co-operation between the public and private sectors."

Examples of savings include: a projected 20 per cent saving (over £600 million) on the 20 major projects being delivered through the Highways Agency's Managed Motorways and Trunk Road Improvement programme, through managing projects more strategically, allowing them to work better with their supply chain and deliver savings. London Underground also expect to deliver over £400 million efficiency savings through more effective project management.

These examples, along with the others detailed in the report, represent evidence of good progress towards the overall objective of £2 to 3 billion savings per annum by 2015. The Government's focus for the next year of the programme will be to embed the behavioural changes and improved processes required to sustain these savings, with particular focus on the top 40 priority infrastructure projects and programmes identified in the National Infrastructure Plan 2011.

Industry has already reacted positively to improvements in the visibility of the infrastructure and construction pipelines, published alongside the Autumn Statement 2011. Working with industry the Government is building on these pipelines to inform the development of "capability plans" to identify and address skills gaps and capability issues within key sectors. An example of this is the tunnelling sector where key projects like Crossrail, Thames Tideway, High Speed 2 and National Grid cable tunnels will benefit from a more coordinated approach to investment in skills and apprenticeships through the Tunnelling and Underground Construction Academy.

[seekerofvalue] 24/4/2012 15:12

INPP touched a new all-time high of £1.219 on Friday 20/4/12 and is making another attempt at breaking out of its range again this week. Current share price £1.216p

Related news:

First State Global Listed Infrastructure fund 23rd April 2012

Sheridan Admans, investment research manager at The Share Centre, highlights infrastructure as a key sector for fund investors and recommends the First State Global Listed Infrastructure fund.

"Infrastructure is a significant investment theme that should not be overlooked by investors. It is the strength and integration of an economies infrastructure that in the long-term determines its competitiveness. Investment is driven by structural drivers such as urbanisation, globalisation of trade, mobility, communication and security of energy to name a few. Infrastructure investment also tends to be more defensive, has earnings transparency and inflation beating income returns.

"Infrastructure could see a boost from pension fund investment as well as sovereign wealth funds in the years ahead as they seek to diversify away some risk they are exposed to in credit markets, it may also enable them to match liabilities while maintaining a hedge on inflation. The UK Government has been vocal in its wish to encourage such investors to support strategic infrastructure projects in the future.

"Investment in infrastructure in regions like China is likely to mean new facilities, where as in the US and Europe it is likely to result in upgrading current facilities and the improvement of their efficiency.

"A fund that offers this exposure is the First State Global Listed Infrastructure fund, managed by Peter Meany. It invests in companies involved in projects such as airports, sea ports, gas, electric and water utilities, toll roads, communication networks, oil and gas pipe-lines.

"These companies tend to be defensive and mature, suggesting reasonable levels of dividends and dividend growth. This is further aided by high barriers to entry, strong pricing power, sustainable growth and predictable cash flows making the asset class a relative safe haven in an uncertain financial world.

"This provides an investor with a lower risk exposure to the major themes that support economic growth and is suitable for investors wanting global equity exposure, whilst retaining a defensive and more balanced return."



BAA sells Edinburgh Airport for £807m April 23, 2012 12:41 pm




Roads and rail are a hot investment ticket April 20, 2012 6:34 pm
By Matthew Vincent

[seekerofvalue] 19/4/2012 14:04

A good rise in volumes yesterday, followed by some good news today:

INPP net asset value UP 15.2% | 09:22 AM | Thursday 19 April, 2012

International Public Partnerships' net asset value grew 15.2% to £624.3m in the year to the end of December. NAV per share rose to 116.9p from 113.1p a year ago. Pre-tax profits were £13.2m against £16.5m in 2010 while after-tax profits rose to £16.1m from the restated £15.1m last time. Chairman Keith Dorrian said: "The company and our shareholders continue to benefit from the opportunities arising from the renewed commitment shown by governments to infrastructure investment across our geographies. "There is a heightened awareness of the pivotal role private capital plays in these long-term public sector programmes, resulting in a surge in interest from an increasingly wide investor base, attracted by the risk reward profile of the company and asset class. "Taking advantage of the positive investment environment through our healthy pipeline of attractive investment opportunities is critical to the ongoing success of the company and as such, we are actively considering our options with respect to raising more equity capital. "We look forward to 2012 with confidence." At 9:22am: (LON:INPP) share price was +0.05p at 120.05p
Infrastructure: a concrete opportunity

Related news:

Professional Pensions | 19 Apr 2012 | 08:00
By Lynn Strongin Dodds

The government National Infrastructure Plan looks like a perfect investment fit for pension funds. Lynn Strongin Dodds examines the opportunities and the risks.

Investing in infrastructure is not a new theme in the UK but the government is making a big push to get institutional investors on board with its £200bn National Infrastructure Plan.

In the past banks would have plugged the gaps but today the fallout from the financial crisis coupled with regulation makes them an unlikely bet. Pension funds are being targeted but many, albeit interested, are treading carefully.

At first glance, the asset class' potential of inflation-linked returns, stable cash flows, modest risk adjusted returns and diversification seems like a perfect fit for pension funds.

In fact, these attributes attracted them in the 1990s when the UK government rolled out its Public Private Partnership (PPP) and Private Finance Initiative (PFI) to fund the building of bridges, roads, toll roads, airports, pipelines, utility towers, educational and healthcare facilities.

Investment banks though muscled their way in during the next decade, taking advantage of cheap available financing and spiralling returns. They also tended to be the buyers of bonds that had been guaranteed, or wrapped, by one of the big monoline insurers that gave their AAA credit rating approvals to a variety of risky debt which blew up after Lehman collapsed.

Many institutional investors took a back seat which meant they did not develop the necessary internal skills to learn the inner workings of the asset class and analyse as well as assess the risks inherent in these transactions.

As Annabel Wiscarson, executive director business development at Industry Funds Management, which manages over $10 bn in infrastructure puts it: "UK trustees understand what a toll road or airport is but pricing risk is a different equation. This involves looking at the underlying risks such as regulation or traffic if it is a toll road and the contracts involved."

A shifting landscape

For those institutions that stayed in the infrastructure game the private equity pricing structure of a 2% management and 20% performance fee rankled particularly when the double digit returns failed to materialise after stock markets plunged in 2008.

Not surprisingly, the landscape is shifting again especially with the launch of the National Infrastructure Plan last year calling on the pension funds to step up to the plate and inject £20bn into transport, power and telecoms projects over the next five years.

"Over the last 15 years there was a tremendous disintermediation of debt financing away from the pension funds and insurance companies to the banks" says Hadrian's Wall Capital chairman and founder Marc Bajer.


Infrastructure cash 'needed now'

[seekerofvalue] 17/4/2012 12:01

INPP share price £1.199p remains in its trading range.

Related news:

Infrastructure investments get a good write in bthis article fron Investors Chronicle.
Four great growth investments Leonora Walters, 16 April 2012



Pension funds worldwide are forecast to plough $3.5 trillion into new infrastructure projects over the next decade, raising their asset allocation from 2% to more than 15%. Sebastian Walsh 16 Apr 2012

[seekerofvalue] 10/4/2012 12:39

INPP remains in its trading range.

Related news:

Australia to sign agreement with China
08:55, Tuesday April 10, 2012



London councils eye pooled pension fund to cut costs

London's councils are considering plans for a pooled pension fund to cut administrative costs and help fund local infrastructure projects, the Financial Times reports. 10 Apr 2012

[seekerofvalue] 05/4/2012 11:25

INPP remains trapped in its trading range.

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Leading industry figures to drive infrastructure template 5/04/12


Hyder ups presence in Saudi Arabia for a big expansion 5/04/12

[seekerofvalue] 28/3/2012 12:27

INPP remains trapped in its trading range.

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[seekerofvalue] 22/3/2012 11:15

INPP remains trapped in its trading range.

I wonder if investors are being cautious because of INPP's 29th December 2011 comments.

"2012 Prospects and Future Capital Raising
The Board notes that 2011 was a very active year for INPP with over £120m of new investments made during the year into infrastructure assets meeting its investment criteria. The Board looks forward to 2012 with confidence based on the continuing good performance of its existing assets and the attractive pipeline of new infrastructure opportunities under review by its Investment Adviser both in the UK and overseas. The recent commitments to infrastructure procurement made by the UK government support this continuing strategy.

The Board continues to review the capital position of the Company against its likely investment opportunities and believes that if the opportunities currently under consideration come to fruition, as anticipated, that it is likely to be beneficial to seek additional capital from both shareholders and new investors by way of an equity capital raise in 2012. Further announcements will be made at the appropriate time once details are confirmed".


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Engineers in demand as infrastructure investment grows


Budget 2012: Infrastructure ambitions move very slowly


Manchester negotiates £1.2bn infrastructure deal March 22, 2012


Manager tips infrastructure as Budget 2012 nears Mar 21, 2012

[seekerofvalue] 19/3/2012 12:06

The Budget could bring lots of additionally attention to the infrastructure sector. Which should lead to INPP making another attempt at £1.21p.

Related news:

March 19, 2012 12:01 am
Cameron to unveil lease plan for roads


Scramble for infrastructure 'crystallising' assets, says UBS
by Emily Blewett on Mar 19, 2012 at 10:55