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01 Sep 2022

BBGI Global Infrastructure

Company Notes

2022 HY Results: A quantum of solace

On 31 August 2022, BBGI* published its interim results to 30 June 2022. Highlights include:

(*) +9.1% annualised total shareholder return since IPO.

(*) NAV per share +6.5% to 149.8p (net assets at 30 June: £1,068.7m). 4.7% of increase driven by the portfolio’s inflation linkage. Balance sheet hedging added 1.8% to NAV.

(*) Two-year inflation forecasts and deposit rates increased across all jurisdictions.

(*) Weighted average discount rate maintained at 6.55% (Range: 6.00%-8.55%).

(*) Strong dividend cover of 2.03x (FY21: 1.31x) allowed dividend targets to be reaffirmed: 7.48p for 2022; 7.63p for 2023; and 7.78p for 2024.

(*) Net cash position of £30.2m with £10m drawn from the £230m multi-currency credit facility.

(*) £24m invested in John Hart Generating Station Replacement Project (hydroelectric power generation). £40m investment in A7 German motorway announced and expected to complete in Q3 2022.

CAD$80m investment in new hospital facility in Province of Québec, previously announced in October 2021, remains subject to conditions that are yet to be satisfied.