Giles Frost, on behalf of Babcock & Brown Investment Management Ltd, said: “We expect this transaction to deliver additional strong and predictable infrastructure returns for BBPP. It will be immediately accretive to shareholders. The acquisition has very high quality cashflows and complements the company’s existing investments in the rolling stock sector, including Reliance Rail in Australia and BeNEX in Germany.”
BBPP has also made a statement distancing itself from the trouble at ASX-listed company Babcock & Brown, saying: “Additionally, the company confirmed today that the potential bank review event announced recently by Babcock & Brown Limited the ultimate parent of its investment adviser Babcock & Brown Investment Management Ltd has no relevance to the company.
“Specifically, the company confirms that it has no loans with or shareholdings in Babcock & Brown or any other Babcock & Brown managed funds, that it has a dedicated management team and that it continues to benefit from a strong pipeline of opportunities, which, as noted above, are likely to lead to the company’s funds being fully invested ahead of schedule.”