Infrastructure India (IIP) is a closed-end investment company, incorporated in the Isle of Man and investing in Indian infrastructure assets, with a particular focus on transport and renewable energy. The assets were valued at £326 million in its recently published interim report to end September 2016. More than 80% of the portfolio is invested in the wholly owned subsidiary Distribution and Logistics Ltd (DLI), which runs four large container terminals and provides transportation services across India. The remainder is invested in renewables: one wind farm company, also wholly owned, and two hydropower companies. A fifth investment, in toll roads, was divested in April 2016.
Exchange: London AIM (IIP)
Recent Financial Data: LSE summary
Financial Report: Interim to 30 Sept 2016
Further Information: DLI have been expanding, with a new customs bonded area near Nagpur in central India, and similar areas under development near Bangalore and Delhi. The wind farm company, Indian Energy Ltd, was bought in 2011. It has a capacity of 41.3 Megawatts, which is a very small part of the market, and which has not been increased since purchase.
One hydropower company, India Hydropower Development Company, is a a 50/50 partnership with Dodson-Lindblom International, an Ohio-based engineering company, who are the operator. IHRDC owns and operates six small plants in Maharashtra, Madya Pradesh and Himachal Pradesh with a total capacity of 62 MW and plans to add a further 21 MW.
The other hydropower investment is a 31 per cent stake in Shree Maheshwar Hydel Power Corporation (SMH), which is building a 400 MW plant with ten turbines on the Narmada river in southwest Madya Pradesh. The project is well advanced but is currently on hold due to problems with the principal lender.
Some 75 per cent of IIP’s shares are held by GGIC (ex Guggenheim Global Infrastructure Company, a private US infrastructure and energy company) or its affiliates, who have the nearly the same directors and asset management team as IIP. Furthermore IIP have a loan of US$17 million from GGIC due in July 2017 for whose replacement the Board is currently exploring options.
Contact Details: IOMA House, Hope Street, Douglas, Isle of Man, IM1 1AP
T: +44 (0) 1624 681 250
Field of Interest: India, Hydro & Water