REG - Infrastructure India Infrastructure Ind W - Extension of Term Loan

Infrastructure IndiaAnnouncement

31/08/2022 10:45

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RNS Number : 7688X  Infrastructure India plc  31 August 2022

31 August 2022

 

Infrastructure India plc

("IIP", the "Company" and together with its subsidiaries the "Group")

 

Extension of Term Loan

Related Party Transaction

 

Infrastructure India plc, an AIM quoted infrastructure fund investing directly
into assets in India, announces that the Group has agreed a US$6 million
increase to the US$105 million term loan with IIP Bridge Facility LLC, an
affiliate of GGIC, Ltd ("GGIC"), as announced by the Company on 2 April 2019
(the "Facility Extension"). Following the Facility Extension, the principal of
the loan will be US$111 million, and the amount of interest accrued will be
approximately US$56.4 million. All other terms and conditions of the facility
remain the same, including the maturity date of 1 April 2023.

 

The Facility, a secured term loan to IIP's wholly owned Mauritian subsidiary,
Infrastructure India Holdco, carries an interest rate of 15% per annum,
calculated in a manner that yields a 15% IRR for the Lender and is secured on
all assets of IIP Holdco, including 100% of the issued share capital of
Distribution Logistics Infrastructure India, DLI's Mauritian parent company.

 

Distribution Logistics Infrastructure Private Limited ("DLI"), IIP's largest
asset, has faced increasing liquidity constraints due to growing restricted
funds requirements in-country which has adversely impacted on DLI's
operations. Accordingly, the extension funds received by the Company will be
utilised primarily to meet urgent operational overheads at DLI as well as
Group working capital needs. DLI is a supply chain transportation and
container infrastructure company headquartered in Bangalore and Gurgaon with a
material presence in central, northern and southern India.

 

Related Party Transaction

 

IIP Bridge Facility LLC is an affiliate of GGIC, which is, directly and
indirectly, interested in 75.4% of the Company's issued share capital. Under
the AIM Rules for Companies ("AIM Rules") IIP Bridge Facility LLC and GGIC are
each, therefore, deemed to be related parties of the Company and the Facility
Extension is a related party transaction pursuant to Rule 13 of the AIM Rules.

 

The independent directors of IIP, being M.S. Ramachandran and Graham Smith,
consider, having consulted with Strand Hanson Limited in its capacity as the
Company's nominated adviser, that the terms of the Facility Extension are fair
and reasonable insofar as the shareholders of IIP are concerned.

 

The information contained within this announcement is deemed by the Company to
constitute inside information as stipulated under the Market Abuse Regulation
(EU) No. 596/2014 as it forms part of United Kingdom domestic law by virtue of
the European Union (Withdrawal) Act 2018, as amended.

Enquiries:

 Infrastructure India plc                 www.iiplc.com (http://www.iiplc.com/)

 Sonny Lulla                              Via Novella

 Strand Hanson Limited                    +44 (0) 20 7409 3494

 Nominated Adviser

 James Spinney / James Dance

 Singer Capital Markets                   +44 (0) 20 7496 3000

 Broker

 James Maxwell - Corporate Finance

 James Waterlow - Investment Fund Sales

 Novella                                  +44 (0) 20 3151 7008

 Financial PR

 Tim Robertson / Safia Colebrook

 

 

 

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