The HICL infrastructure Plc are on target to deliver aggregate target dividends of 8.25p per share for the current financial year and the Board re-affirmed the 8.45p per share target dividend guidance for the next financial year, ending 31 March 2021.
Other financial highlights include:
Resilient portfolio performance underpinning continued growth in Net Asset Value of 0.3p per share to 157.8p for the six months to 30 September 2019.
Portfolio optimisation remains a core focus, with two accretive investments and two strategic disposals delivering improvements in the Company's key portfolio metrics.
With a total return featuring strong inflation correlation, low sensitivity to deposit rate changes and a low correlation to UK GDP, HICL's portfolio provides a measure of mitigation against ongoing political uncertainty in the UK.
The infrastructure asset class continues to hold unique attractions for yield investors in a low interest rate environment; and HICL has market-leading, differentiated characteristics such as low single asset concentration, a well-diversified portfolio and a pipeline of opportunities for growth.
Steady share price progression over the period has seen the Company's shares move to a healthy premium to Net Asset Value reflecting renewed appetite for yield as a low interest rate environment persists; the increasing relevance of investments such as HICL that have a meaningful sustainability profile; and a more supportive political backdrop in the UK.
The Investment Manager continues to progress a healthy pipeline of core infrastructure opportunities including PPPs in Northern Europe and North America and regulated assets in selected geographies, including additional OFTOs.