Case study of multiple equity transactions: Calderdale Royal Hospital

Equity in the Calderdale Royal Hospital PFI project has changed ownership nine times since financial close on 31 July 1998, six direct equity transactions and three changes in corporate ownership, which transferred ownership of PPP equity to a different company - see Table 9. Although this is the highest recorded number of transactions of equity in a PPP project company, it serves to illustrate the complexity of many equity transactions and the systemic failure to disclose what should be classified as public information.

Table 9: Sale of equity in Catalyst Healthcare (Calderdale) Holdings Limited (renamed Calderdale Hospital SPC Holdings Limited)

Date

Seller of equity

%

Purchaser of equity

Cost (£m)

Profit £m

31 July 1998

Share ownership at financial close of project

50.0



16.67
16.67
16.67

Bovis Lend Lease (Lend Lease Corporation, Australia)
Bank of Scotland
RCO Holdings
Societe Generale

n/a

n/a

2000

RCO Holdings

16.67

ISS Europe takeover of RCO and their shareholding

n/a

n/a

2002

Lend Lease Corporation

30.1

Quayle Munro Holdings plc (Lend Lease retains 19.9%)

n/a

9.5

2005 Nov

ISS UK Limited (RCO Support Services Limited)

16.67

Bank of Scotland

n/a

n/a

2005 Dec

Quayle Munro Holdings plc

30.1

Bank of Scotland

n/a

n/a

2006 May

Lend Lease Corporation

19.9

Catalyst Investment Holdings Ltd (50/50 joint venture between Lend Lease and Bank of Scotland)

14.7 from equalisation of equity in 11 projects

11.5 as part of 11 projects

2006 October

Societe Generale

16.67

Infrastructure Investors (joint venture Barclays Infrastructure, Societe Generale, 3i Investments and Fleming Family & Partners)

n/a

n/a

2006 October

Bank of Scotland

3.3

Infrastructure Investors (joint venture Barclays Infrastructure, Societe Generale, 3i Investments and Fleming Family & Partners)

n/a

n/a

2009 January

Societe Generale (31.7%), 3i (31.7%) and Fleming (4.9%) shareholdings in Infrastructure Investors sold

Indirect shareholding

Barclays Integrated Infrastructure Fund LP

n/a

n/a

2010 December

Lend Lease Corporation sells its 50% shareholding in Catalyst Investment Holdings Ltd (later renamed Consolidated Investment Holdings Limited)

Indirect shareholding

Lend Lease PFI/PPP Infrastructure CIHL Holdings Limited, registered in Jersey

75.0 (part of 14 project transaction)

12.0 (part of 14 project transaction)

2012

Calderdale Hospital SPC Holdings

20% - Barclays Integrated Infrastructure Fund LP (owned by number of investors)

80% - Consolidated Investment Holdings Limited (50% owned by Bank of Scotland and 50% by Lend Lease PFI/PPP Infrastructure CIHL Holdings Limited (Jersey).

Source: European Services Strategy Unit PPP Equity Database, 2012. Company accounts. n/a - not available.