Investment funds managed by Alinda Capital Partners, along with company management, have acquired 100% ownership of Kelling Group Limited from Elysian Capital LLP.
Kelling is a U.K. company that provides specialty equipment for rental in the maintenance and upgrade of rail, road, telecommunications, street lighting, electric transmission, and other critical infrastructure. Kelling operates through two divisions, Access Hire Nationwide, and Welfare Hire Nationwide. AHN is the largest provider of vehicle-mounted access platforms for rental in the United Kingdom.
More information about the company is available at www.kellinggroup.com.
“As long-standing infrastructure investors in the UK market, we are attuned to the scale of ongoing maintenance and capital improvement programs in UK infrastructure,” said Alinda Managing Partner Chris Beale. “Kelling plays a crucial role in the execution of those programs. We look forward to a long and successful partnership with management, who share our focus on infrastructure and emphasis on quality operations.”
“We are excited about Alinda’s investment,” said Kelling CEO John Wood. “Alinda shares our vision to grow Kelling as a best-in-class equipment hire business, with specific focus on meeting the needs of critical UK infrastructure. We have enjoyed working with Elysian Capital and now look forward to delivering our forward growth strategy in partnership with Alinda.”
Investment funds managed by Alinda Capital Partners have sold the holding company of InterPark to a consortium led by TIAA Private Investments and Antarctica Capital.
InterPark and its affiliates are the largest owner-operator of parking infrastructure in the United States. They own 57 parking garages and several surface lots in 13 U.S. states and the District of Columbia that in the aggregate comprise more than 49,000 parking spaces.
The garages are located in major central business districts as well as at airports, and in prime locations such as Atlanta, Baltimore, Boston, Chicago, Houston, Minneapolis, Philadelphia, Phoenix, San Francisco and Washington, D.C.
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This transaction was completed on June 21, 2017.
Howard Energy Partners (“HEP”) has signed a strategic partnership with WPX Energy (NYSE:WPX) to form a 50/50 joint venture, Catalyst Midstream Partners (“Catalyst”), to own, operate and expand oil and gas gathering and gas processing assets in the Delaware Basin within the greater Permian Basin, one of the most prolific fields in the United States.
HEP will complete construction of an approximately 50-mile crude oil gathering system, build a cryogenic natural gas processing complex with an initial capacity of 400 million cubic feet per day, and build associated natural gas and product pipelines. HEP will serve as operator of the Catalyst assets.
Investing in the JV with HEP are GIC Private Limited (an arm of Singapore’s sovereign wealth fund), Alberta Investment Management Company (“AIMCo”) and investment funds managed by Alinda Capital Partners.
“Historically, producer-backed midstream companies have performed well given the strong alignment of interests. We are excited about the strategic partnership with WPX, one of the strongest players in the Permian Basin, and the positive implications it has for our business,” said Mike Howard, HEP’s chairman and chief executive officer.
“We believe the Howard team has the right skills, capabilities and focus to make this joint venture a success and we’re excited to work with them,” said Rick Muncrief, WPX’s chairman, president and chief executive officer.
SemGroup Corporation (NYSE:SEMG) announced it has entered into a definitive agreement with investment funds managed by Alinda Capital Partners to acquire Houston Fuel Oil Terminal Company (“HFOTCO”) for total consideration of $2.1 billion, including assumption of debt.
HFOTCO is a 16.8-million-barrel terminal strategically located on the U.S. Gulf Coast with pipeline connectivity to the local refining complex, deep water marine access and inbound pipeline, rail and truck receipt capabilities from all major producing basins. HFOTCO’s assets are located on 330 acres of the Houston Ship Channel, one of the most active trading centers for residual fuel oil and crude oil in the world.
Chris Beale, Managing Partner of Alinda Capital Partners, commented: “The HFOTCO management team has done an excellent job of growing and diversifying a world class terminal business. We believe that adding this asset to SemGroup’s portfolio is a great way to leverage customer relationships, strengthen both businesses and create additional shareholder value.”
“This is a transformational acquisition that adds tremendous stability to our business and provides a dynamic platform for growth,” said SemGroup President and CEO Carlin Conner. “Consistent with our strategy to diversify our portfolio and become more downstream logistics focused, HFOTCO brings a well-established base of high-quality, long-tenured customers to our business. At the same time, the terminal’s premier location on the Houston Ship Channel provides deep water access and is well positioned to capture increasing export volumes. With the addition of HFOTCO, SemGroup will be uniquely positioned to capture the future trends in exporting crude oil and refined products resulting from the U.S. shale boom.”
The acquisition is expected to close in the third quarter of 2017, subject to the receipt of certain governmental approvals and the satisfaction of other customary closing conditions.
SemGroup intends to maintain HFOTCO’s workforce and anticipates that all of the company’s approximately 125 employees will become members of the SemGroup team upon the transaction’s close.
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This transaction was completed on July 17, 2017.
CKP (Canada) Holdings Ltd. has entered into a definitive agreement with investment funds managed by Alinda Capital Partners to acquire Reliance Home Comfort (“Reliance”) for an equity purchase price of CAD 2.82 billion. No incremental debt will be incurred by Reliance as part of the sale and all existing Reliance indebtedness will be assumed.
CKP (Canada) Holdings Ltd. is a wholly-owned subsidiary of Cheung Kong Property Holdings Ltd (“CKP”), a publicly-listed company in Hong Kong and in which the Li family trust is the largest shareholder. CKP said it intends to on-sell up to 25% of Reliance to Cheung Kong Infrastructure Holdings Ltd.(“CKI”), the largest publicly-listed infrastructure company in Hong Kong and another company in the Li family trust group, upon obtaining the necessary approvals.
“I am very happy about the Reliance acquisition. With my close ties in the country, I have always been on the lookout for sizeable investments back in Canada,” said Victor Li, Managing Director of CKP and Chairman of CKI. “For our Group, Canada has always been an important market. We have had very positive experiences nurturing Canadian businesses like Husky Energy and Park’N Fly. We hope that Reliance will also grow and succeed just like our other Canadian companies, creating value to Canadians and contributing to the growth and development of the country’s economy.”
Mr. Li and his family have interests in businesses that span 52 countries; these businesses include ports, infrastructure, retail, telecommunications, energy and property.
Completion of the acquisition is conditional upon customary approvals under the Investment Canada Act and the Competition Act. It is expected that completion will take place before the end of the first half of 2017.
Upon completion, the intention of CKP is that Reliance will continue to be based in Ontario with the existing executive team managing the business.
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This transaction was completed on July 13, 2017.
Virginia Governor Terry R. McAuliffe today announced that the Virginia Port Authority (VPA) has signed a new, long-term lease for Virginia International Gateway that clears the way for the port to begin work on doubling the lift capacity at Virginia International Gateway’s deep-water container terminal.
“This is an historic event for the Port of Virginia,” Governor McAuliffe said. “This new lease helps to put the port on the path to long-term sustainability which, in turn, will result in continued job creation, investment and revenue for the Commonwealth of Virginia.”
“Further, this sends a very clear message – world-wide – that the Port of Virginia is investing for the long-term and we will be able to service the vessels of any ocean carrier here at what will be one of the most modern and efficient container terminals in North America for decades to come.”
The new lease, which was negotiated during a two-year period, will give the port oversight of and operating rights at the terminal until 2065. Further, the lease allows the port to begin work on a $320 million project to build the terminal’s second phase; construction will begin this year. The lease is between the VPA and Virginia International Gateway, Inc., which is owned by investment funds managed by Alinda Capital Partners and Universities Superannuation Scheme (USS). The lease is scheduled to go into effect November 1.
“Within the existing footprint, we will have the capability and capacity to process a total of 1.2 million (container) lifts – 2 million TEUs – annually through Virginia International Gateway,” said Aubrey L. Layne, Virginia Secretary of Transportation. “The negotiation process was a collaborative effort with both the Alinda/USS team and the port making a significant investment in resources and time. Everyone worked together to reach this agreement knowing the long-term benefits to the port and throughout Virginia.”
Presently, Virginia International Gateway is processing 600,000 container lifts annually. The terminal is served by eight ship-to-shore cranes and has on-dock rail with service provided by both CSX and Norfolk Southern. The expansion will take an estimated three years to complete and result in a longer berth, an expanded rail operation, an expanded container yard and four new ship-to-shore cranes.
“The potential economic impacts of the build-out are significant,” said John G. Milliken, Chairman of the VPA Board of Commissioners. “We anticipate this project creating thousands of new port-related jobs and generating hundreds of millions in state and local taxes and billions of spending and investment throughout the state. Two years ago, when we began the work of re-elevating the Port of Virginia’s status, our goals were to create efficiency at our terminals, improve our delivery of service, put the port on a sustainable financial basis and expand our capacity to drive job and economic growth in Virginia. With today’s announcement we have set our growth path for the next 20 years and built a bridge to our long-term future, which is a terminal on Craney Island.”
Today’s news comes in addition to several recent announcements made by the port in its effort to reinvest and expand capacity. In August, Governor McAuliffe announced $350 million in state funding to expand capacity at Norfolk International Terminals (NIT), which is the port’s other primary container terminal. Additionally, the port is nearing the mid-way point on construction of the North Gate complex at NIT – a 26-lane gate that will provide greater motor carrier access to the terminal and will tie into the I-564 connector, also under construction.
“We believe that the continued investment in people, technology and those capacity projects being undertaken here during the next three-to-four years are positioning the Port of Virginia to become the US East Coast’s premiere port: a true gateway to world trade and a catalyst for commerce in Virginia,” said John F. Reinhart, CEO and Executive Director of the VPA. “We are seeing vessels in the 10,000-plus TEU range, we are processing more rail cargo than ever and the demand for our services is growing. We have momentum and our timing coincides well with the changes in the industry.”
A consortium led by Alinda Capital Partners has completed the acquisition of Energy Assets Group plc. The company’s shares have been de-listed and the company will operate now as an unlisted company.
Headquartered in Livingston, Scotland, Energy Assets is the largest independent provider of industrial and commercial gas metering services in the United Kingdom (by number of meters owned and managed) and is a major provider of multi-utility network metering and data services.
Chris Beale, Alinda’s Managing Partner, said, “Energy Assets is a company with a robust business model and exceptional management. We look forward to working with the management team to enhance Energy Assets’ position as it invests in the roll out of advanced meters in the UK.”
“We are delighted with Alinda’s investment in Energy Assets,” said Phil Bellamy-Lee, Chief Executive Officer of Energy Assets. “We believe that our company, our employees and our business partners will benefit from the capital and investment skills of Alinda as we move forward with our growth plans.”
The acquisition consortium comprised investment funds managed by Alinda which acquired approximately 75% of the company, and investment funds managed by Hermes Investment Management which acquired approximately 25%.