SEQI — Sequoia Economic Infrastructure Income Fund News Story

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£1.20bn
Enterprise Value
£1.20bn
Revenue
£123.04m

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Sequoia Econ Infra - NAV and Investment Update

Sequoia Economic Infrastructure Income Fund

17/11/2025 07:00

RNS Number : 6926H

Sequoia Economic Infra Inc Fd Ld

17 November 2025

NOT FOR RELEASE, PUBLICATION OR DISTRIBUTION IN WHOLE OR IN PART IN OR INTO THE UNITED STATES

Sequoia Economic Infrastructure Income Fund Limited ("SEQI" or the "Company")

MONTHLY FACTSHEET & COMMENTARY - October 2025

The NAV per share for SEQI, the largest LSE-listed infrastructure debt fund, increased to 94.90 pence per share from the prior month's NAV per share of 93.67 pence, representing an increase of 1.23 pence per share. Adjusted for the accrual of the dividend of 1.71875 pence per share declared in respect of the quarter ended 30 September 2025 and payable on 21 November 2025, the NAV per share post-distribution is 93.18 pence.

pence per share
30 September NAV 93.67
Interest income, net of expenses 0.57
Asset valuations, net of FX movements* 0.63
Subscriptions / share buybacks 0.03
31 October NAV (pre-distribution) 94.90
Dividend -1.72
31 October NAV (post-distribution) 93.18

No expected material FX gains or losses as the portfolio is approximately 100% currency-hedged. However, the Company's NAV may include unrealised short-term FX gains or losses, driven by differences in the valuation methodologies of its FX hedges and the underlying investments - such movements will typically reverse over time.

Well positioned to benefit from current high interest rates; the portfolio has a fixed-rate exposure of 58.7% as of October 2025.

Market Summary

Interest Rate Announcements and Inflation

· The Federal Reserve announced a rate cut on 29 October, lowering the base rate from 4.0% to 3.75%, and marking the second rate cut for 0.25% in two months. The yield on 10-year U.S. Treasuries declined marginally from 4.2% to 4.1% during the same period and the market is pricing in at least one further rate cut for 0.25% by January 2026.
· The Bank of England held the base rate at 4.00% during October. UK gilt yields fell sharply by around 0.3% to 4.50% during the same period, due to softer inflation data and rising expectations of Bank of England rate cuts. Gilt yields continued to trend lower post month-end following expectations of tax increases in the upcoming Autum Budget, and market participants are pricing in an 80% chance of a rate cut at the Bank of England's next announcement in December 2025.
· The European Central Bank has held its policy rate steady at 2.00% since September, citing subdued economic growth and moderating inflation across the Eurozone. In October, 10-year German Bund yields drifted lower by roughly 10 basis points. Market consensus points to the ECB maintaining its current stance for now, with no rate cuts expected in the near term.
· As global monetary conditions begin to ease, inflation remains above target and sustained geopolitical tensions continue to weigh on the outlook. Central banks are proceeding cautiously, seeking to support growth through gradual rate cuts while mitigating the risk of renewed inflationary pressures.
· The pace of policy easing is expected to diverge, with the U.S. and the UK likely to move ahead of the Eurozone, which is expected to maintain a more measured stance. As interest rates decline, alternative assets such as infrastructure are poised to become increasingly attractive relative to liquid debt.

Tariff Impact & Geopolitical Analysis

· During October, the U.S. and China reached a one-year trade truce during the APEC 2025 summit, under which Washington agreed to cut its fentanyl-related tariff on Chinese goods from 20% to 10%.
· The U.S. and EU continue to operate under the broader Agreement on Reciprocal, Fair, and Balanced Trade (August 2025 framework). It sets ceilings on U.S. tariffs on EU goods (e.g. 15%) and commits the EU to eliminate or reduce certain tariffs on U.S. industrial exports.
· On 30 October 2025, the U.S. Senate passed a motion (51-47) to rescind the broad "national-emergency" tariff basis (under International Emergency Economic Powers Act - IEEPA). This signals heightened legislative scrutiny of sweeping tariffs, which may reduce the risk of broad new tariffs on EU or UK goods.

Portfolio Update

Revolving Credit Facility and Cash Holdings

· On 31 October 2025, the Company was undrawn on its £300.0 million revolving credit facility and held cash of £124.6 million (inclusive of interest income), reflecting significant prepayments from Euroports, Infinis Energy and Salt Creek HoldCo First Lien Facility, totalling £119.6 million. The Company also has net undrawn investment commitments of £39.3 million.
· Although the Company has recently de-levered following the high volume of repayments, it maintains a robust near-term pipeline of opportunities and therefore expects the active redeployment of capital. Further updates will be provided as new transactions complete.

Portfolio Composition

· The Company's invested portfolio consisted of 49 private debt investments and 3 infrastructure bonds, diversified across 8 sectors and 28 sub-sectors.
· 58.4% of the portfolio is comprised of senior secured loans, reflecting the Company's defensive positioning.
· The portfolio pull-to-par, which is incremental to NAV as loans mature over time, was 3.0 pence per share as of October, down from 3.1 pence per share during September, due to the decline in sovereign yields during the month.
· It had an annualised yield-to-maturity (or yield-to-worst in the case of callable bonds) of 9.56% and a cash yield of 7.1% (excluding deposit accounts).
· The weighted average loan life is 3.0 years as of October 2025.
· Private debt investments represented 95.0% of the total portfolio, allowing the Company to capture illiquidity yield premiums.
· The Company's portfolio remains geographically diversified, with 42.3% located across the U.S., 28.0% in the UK and 29.7% in Europe.

Portfolio Highly Diversified by Sector and Size

Share Buybacks

· The Company bought back3,212,607 of its ordinary shares at an average purchase price of 77.52 pence per share in October 2025.
· The Company first started buying back shares in July 2022 and has bought back 233,351,932 ordinary shares as of 31 October 2025, with the buyback continuing into November 2025. This share repurchase programme by the Company continues to contribute positively to NAV accretion. The Board takes a dynamic approach to share buybacks which takes into account available portfolio liquidity, the relative discount to NAV and other relevant factors.

New Investment Activity During October 2025

· Senior loan of €53.8 million to Muehlhan Holding GmbH, as part of a €225 million bond issuance. The borrower is an established global industrial services provider operating across the renewables, infrastructure, marine, industry and construction sectors. Core services include onshore and offshore wind installation and maintenance, surface protection, scaffolding, insulation, welding and electrical works. The YTM on this loan is 7.94%.
· A HoldCo loan of £10.3 million to Project Griffin (with total commitments of £23.5 million) to support the construction of a portfolio of seven fully permitted UK solar PV projects, with a combined installed capacity of approximately 430 MW. The YTM on this loan is 7.93%.
· Senior loan to Project Hero for €6.7 million. The borrower is a Spanish market leader in land-based healthcare transport services. The YTM on this loan is 6.49%. When swapped into the Fund's base currency, this is equivalent to a yield-to-maturity of approximately 8.48%.
· An additional Holdco loan to Sunrun for $1.35 million. The borrower is a leader in the U.S. residential solar market. The YTM on this loan is 13.44%.

Investments that Repaid During October 2025

· Full repayment for £65.0 million from Infinis Energy, the UK's leading generator of low-carbon power from captured methane.
· Full repayment for €50.0 million from Euroports (2nd Lien 2030), a leading international ports operator.
· Full repayment for $14.2 million on the Salt Creek Midstream First Lien Facility 2021, a midstream oil and gas operator in the U.S.
· Partial sale of Brightline East LLC bonds for $11.2 million. The borrower is a privately owned passenger rail project entity in Florida.

Non-performing Loans

· The Company continues to work towards maximising recovery from the non-performing loans in the portfolio (equal to 0.6% of NAV). There are no additional announcements of non-performing loans this month.

Top Holdings

Valuations are independently reviewed each month by PwC.

Full list of SEQI's Portfolio Holdings and SEQI Monthly Factsheet:

http://www.rns-pdf.londonstockexchange.com/rns/6926H_1-2025-11-15.pdf

http://www.rns-pdf.londonstockexchange.com/rns/6926H_2-2025-11-15.pdf

General Update

The Company's Investment Adviser, SIMCo, has set up a wholly-owned subsidiary in Hong Kong which has made an application to launch a new and separate infrastructure credit fund in Hong Kong and managed by the subsidiary, subject to regulatory licensing and authorisation approvals. It is also proposed the subsidiary managing the new fund (having APAC exposure) will be advised by SIMCo. This planned expansion into Asia will strengthen SIMCo's global presence as a specialist in private infrastructure debt.

SEQI's investment allocation policy remains unchanged and can be found on page 2 of the Annual Report: SEQI_Annual_Report_2025_duWdBCBW3Q.pdf

About Sequoia Economic Infrastructure Income Fund Limited

· SEQI is the UK's largest listed debt investor, investing in economic infrastructure private loans and bonds across a range of industries in stable, low-risk jurisdictions, creating equity-like returns with the protections of debt.
· It seeks to provide investors with regular, sustained, long-term income with opportunity for NAV upside from its well diversified portfolio. Investments are typically non-cyclical, in industries that provide essential public services or in evolving sectors such as energy transition, digitalisation or healthcare.
· Since its launch in 2015, SEQI has provided investors with ten years of quarterly income, consistently meeting its annual dividend per share target, which has grown from 5 pence in 2015 to 6.875 pence per share.
· The fund has a comprehensive sustainability framework, combining sustainability goals, a proprietary ESG scoring methodology, alongside processes and metrics with alignment to key global initiatives.
· SEQI is advised by SIMCo, a long-standing investment advisory team with extensive infrastructure debt origination, analysis, structuring and execution experience.
· SEQI's monthly updates are available here:seqi.fund/investors/monthly-updates

For further information please contact:

Investment Adviser
Sequoia Investment Management Company Limited
Steve Cook
Dolf Kohnhorst
Randall Sandstrom
Anurag Gupta
Matt Dimond +44 (0)20 7079 0480
pm@seqimco.com
Joint Corporate Brokers and Financial Advisers
Jefferies International Limited
Gaudi Le Roux
Harry Randall +44 (0)20 7029 8000
J.P. Morgan Cazenove (Joint Corporate Broker & Financial Adviser)
Rupert Budge
William Simmonds +44 (0)20 7742 4000
Public Relations
Teneo (Financial PR)
Elizabeth Snow
Colette Cahill +44 (0)20 7260 2700
sequoia@teneo.com
Alternative Investment Fund Manager (AIFM)
FundRock Management Company (Guernsey) Limited
Ben Snook
Chris Hickling +44 (0)20 3530 3600
sequoia-aifm@fundrock.com
Administrator / Company Secretary
Apex Fund and Corporate Services (Guernsey) Limited +44 (0)20 3530 3107
Admin.Sequoia@apexgroup.com

This announcement is not for publication or distribution, directly or indirectly, in or into the United States of America. This announcement is not an offer of securities for sale into the United States. The securities referred to herein have not been and will not be registered under the U.S. Securities Act of 1933, as amended, and may not be offered or sold in the United States, except pursuant to an applicable exemption from registration. No public offering of securities is being made in the United States.

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END

UPDFFLFAIEISEEF

SEQI — Sequoia Economic Infrastructure Income Fund News Story

Sequoia Econ Infra - NAV and Investment Update

Recent news on Sequoia Economic Infrastructure Income Fund

Brief: Sequoia Economic Infrastructure Income Fund's NAV Per Share Decreased To 90.43 Pence As At Sept 30, 2026

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Sequoia Econ Infra - PDMR / PCA Shareholding

Sequoia Econ Infra - Director/PDMR Shareholding

	pence per share
30 September NAV	93.67
Interest income, net of expenses	0.57
Asset valuations, net of FX movements*	0.63
Subscriptions / share buybacks	0.03
31 October NAV (pre-distribution)	94.90
Dividend	-1.72
31 October NAV (post-distribution)	93.18

·	The Federal Reserve announced a rate cut on 29 October, lowering the base rate from 4.0% to 3.75%, and marking the second rate cut for 0.25% in two months. The yield on 10-year U.S. Treasuries declined marginally from 4.2% to 4.1% during the same period and the market is pricing in at least one further rate cut for 0.25% by January 2026.
·	The Bank of England held the base rate at 4.00% during October. UK gilt yields fell sharply by around 0.3% to 4.50% during the same period, due to softer inflation data and rising expectations of Bank of England rate cuts. Gilt yields continued to trend lower post month-end following expectations of tax increases in the upcoming Autum Budget, and market participants are pricing in an 80% chance of a rate cut at the Bank of England's next announcement in December 2025.
·	The European Central Bank has held its policy rate steady at 2.00% since September, citing subdued economic growth and moderating inflation across the Eurozone. In October, 10-year German Bund yields drifted lower by roughly 10 basis points. Market consensus points to the ECB maintaining its current stance for now, with no rate cuts expected in the near term.
·	As global monetary conditions begin to ease, inflation remains above target and sustained geopolitical tensions continue to weigh on the outlook. Central banks are proceeding cautiously, seeking to support growth through gradual rate cuts while mitigating the risk of renewed inflationary pressures.
·	The pace of policy easing is expected to diverge, with the U.S. and the UK likely to move ahead of the Eurozone, which is expected to maintain a more measured stance. As interest rates decline, alternative assets such as infrastructure are poised to become increasingly attractive relative to liquid debt.

·	During October, the U.S. and China reached a one-year trade truce during the APEC 2025 summit, under which Washington agreed to cut its fentanyl-related tariff on Chinese goods from 20% to 10%.
·	The U.S. and EU continue to operate under the broader Agreement on Reciprocal, Fair, and Balanced Trade (August 2025 framework). It sets ceilings on U.S. tariffs on EU goods (e.g. 15%) and commits the EU to eliminate or reduce certain tariffs on U.S. industrial exports.
·	On 30 October 2025, the U.S. Senate passed a motion (51-47) to rescind the broad "national-emergency" tariff basis (under International Emergency Economic Powers Act - IEEPA). This signals heightened legislative scrutiny of sweeping tariffs, which may reduce the risk of broad new tariffs on EU or UK goods.

·	On 31 October 2025, the Company was undrawn on its £300.0 million revolving credit facility and held cash of £124.6 million (inclusive of interest income), reflecting significant prepayments from Euroports, Infinis Energy and Salt Creek HoldCo First Lien Facility, totalling £119.6 million. The Company also has net undrawn investment commitments of £39.3 million.
·	Although the Company has recently de-levered following the high volume of repayments, it maintains a robust near-term pipeline of opportunities and therefore expects the active redeployment of capital. Further updates will be provided as new transactions complete.

·	The Company's invested portfolio consisted of 49 private debt investments and 3 infrastructure bonds, diversified across 8 sectors and 28 sub-sectors.
·	58.4% of the portfolio is comprised of senior secured loans, reflecting the Company's defensive positioning.
·	The portfolio pull-to-par, which is incremental to NAV as loans mature over time, was 3.0 pence per share as of October, down from 3.1 pence per share during September, due to the decline in sovereign yields during the month.
·	It had an annualised yield-to-maturity (or yield-to-worst in the case of callable bonds) of 9.56% and a cash yield of 7.1% (excluding deposit accounts).
·	The weighted average loan life is 3.0 years as of October 2025.
·	Private debt investments represented 95.0% of the total portfolio, allowing the Company to capture illiquidity yield premiums.
·	The Company's portfolio remains geographically diversified, with 42.3% located across the U.S., 28.0% in the UK and 29.7% in Europe.

·	Senior loan of €53.8 million to Muehlhan Holding GmbH, as part of a €225 million bond issuance. The borrower is an established global industrial services provider operating across the renewables, infrastructure, marine, industry and construction sectors. Core services include onshore and offshore wind installation and maintenance, surface protection, scaffolding, insulation, welding and electrical works. The YTM on this loan is 7.94%.
·	A HoldCo loan of £10.3 million to Project Griffin (with total commitments of £23.5 million) to support the construction of a portfolio of seven fully permitted UK solar PV projects, with a combined installed capacity of approximately 430 MW. The YTM on this loan is 7.93%.
·	Senior loan to Project Hero for €6.7 million. The borrower is a Spanish market leader in land-based healthcare transport services. The YTM on this loan is 6.49%. When swapped into the Fund's base currency, this is equivalent to a yield-to-maturity of approximately 8.48%.
·	An additional Holdco loan to Sunrun for $1.35 million. The borrower is a leader in the U.S. residential solar market. The YTM on this loan is 13.44%.

·	Full repayment for £65.0 million from Infinis Energy, the UK's leading generator of low-carbon power from captured methane.
·	Full repayment for €50.0 million from Euroports (2nd Lien 2030), a leading international ports operator.
·	Full repayment for $14.2 million on the Salt Creek Midstream First Lien Facility 2021, a midstream oil and gas operator in the U.S.
·	Partial sale of Brightline East LLC bonds for $11.2 million. The borrower is a privately owned passenger rail project entity in Florida.

·	SEQI is the UK's largest listed debt investor, investing in economic infrastructure private loans and bonds across a range of industries in stable, low-risk jurisdictions, creating equity-like returns with the protections of debt.
·	It seeks to provide investors with regular, sustained, long-term income with opportunity for NAV upside from its well diversified portfolio. Investments are typically non-cyclical, in industries that provide essential public services or in evolving sectors such as energy transition, digitalisation or healthcare.
·	Since its launch in 2015, SEQI has provided investors with ten years of quarterly income, consistently meeting its annual dividend per share target, which has grown from 5 pence in 2015 to 6.875 pence per share.
·	The fund has a comprehensive sustainability framework, combining sustainability goals, a proprietary ESG scoring methodology, alongside processes and metrics with alignment to key global initiatives.
·	SEQI is advised by SIMCo, a long-standing investment advisory team with extensive infrastructure debt origination, analysis, structuring and execution experience.
·	SEQI's monthly updates are available here:seqi.fund/investors/monthly-updates