Interserve Plc (IRV.L) said it has reached agreement to sell to CFIG Unicorn Holdings SPV, LLC, an investment vehicle managed by Credit Suisse's Customized Fund Investment Group (CFIG Fund), part of its holding in the University College London Hospitals, or UCLH, PFI project.
Interserve will dispose a 16.7% holding in the project to the CFIG Fund. The company noted that it has exercised its pre-emption rights in relation to 80% of Balfour Beatty's holding in UCLH, funding for which will be provided by Interserve and the CFIG Fund in equal proportions. Interserve has granted the CFIG Fund an option, exercisable within 45 days, to buy the former's share of this pre-empted stake.
On completion of above-mentioned three steps of the deal, Interserve will have generated 35 million pounds in cash and will retain ownership of 16.7% of the UCLH PFI project.
According to Interserve, the value of the complete sale, following the exercise of the option, implies a discount rate of under 6% and a non-recurring 2012 profit impact of 30 million pounds. Profit attributable in 2011 to the assets sold, which have a gross value of 3 million pounds, was 2 million pounds.
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by RTT Staff Writer
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