HICL

Key Data

Country:
UK, Europe, Australia, North America
Sector:
PPP, regulated assets, demand-based assets
Launch (IPO) date:
2006
Market Value at IPO:
£250m
Market Value as at Dec ’16:
£2.5bn
Listing:
London Stock Exchange
Overview:
Portfolio of predominantly operational investments

The story in stats

#1

UK listed infrastructure investment company

21 years

average concession length

110+

investments

Leading Edge

HICL Infrastructure Company Limited (HICL) is a large, UK listed investment company providing investors with exposure to infrastructure assets and delivering an attractive yield with the preservation of capital.

The success of HICL is testament to our ability to gain considerable experience and expertise in a market sector and then utilise that wealth of knowledge to identify a gap in the investment market and launch a new listed vehicle attractive to investors seeking exposure to alternative assets.

Background

Launched in March 2006 as HSBC Infrastructure Company Limited (changing its name to HICL Infrastructure Company Limited in 2011), HICL was the first infrastructure investment company to be listed on the London Stock Exchange. It was established as a long-term investor in public infrastructure working in partnership with the public sector.

HICL was born out of our expertise as an early pioneer in development infrastructure which saw our funds invest in the UK Government’s Private Finance Initiative (PFI). Instead of undertaking piecemeal disposals at the end of our first unlisted, development infrastructure fund’s life, we took advantage of the increased interest in alternative assets to realise the investments in a single, ground-breaking transaction.




Creating Real Value

The initial IPO raised £250m in cash proceeds, which was used to acquire 15 social and transportation infrastructure investments created by our development infrastructure team.

Since the IPO, with growing demand from a wider range of investors, we have successfully sourced new investments and raised further equity capital via a number of secondary issuances. At the end of 2016, HICL has a market capitalisation of over £2.5bn and more than 110 investments across various sectors – health, accommodation, education, transportation, fire, law and order.

By choosing to list HICL, for the first time we provided retail investors with the opportunity to invest in a vehicle with an appealing risk return profile, and predictable yield, focused on infrastructure, an asset class traditionally only accessible to large institutional investors. A testament to our success in creating HICL is that it has been replicated by a number of subsequent listed infrastructure companies. 

As the UK pioneer in listed infrastructure investment, HICL has grown strongly and consistently delivered to target by producing attractive returns for investors, coupled with high standards of corporate governance and disclosure.

Ian Russell, CBE
Chairman of HICL Board of Directors