It should be expected that an enterprise's financial structure will change over the course of its life. Private financiers willing to take the risk of new or startup infrastructure may well look to recycle their investment by selling it to investors seeking established cash flows. Debt may be refinanced by banks in the capital markets. When embarking on a procurement it is important to understand the depth of the potential private finance market-if it is insufficient or poor value for money- and consider what needs to be done to encourage more sources of funding.
"Usually an asset's financing structure - Cressida Hogg, Managing Partner, Infrastructure, 3i |
To answer the original question of whether private finance will invest in new infrastructure, the answer is undoubtedly "yes", but the range of options and depth of finance markets will vary greatly over the life of a project.