GIP acquires IPH

Global Infrastructure Partners (GIP), an infrastructure joint venture created by Credit Suisse and GE focused on infrastructure assets, has acquired IPH – described as a strategic platform for infrastructure investments.

IPH’s founder, Alistair Baillie, a member of GIP’s outside advisory council and former chief operating officer of P&O Ports, will continue to manage IPH.

Following the acquisition IPH announced that it had entered into an operation and investment agreement with Great Yarmouth Port Authority, through its UK subsidiaries International Port Holdings and Great Yarmouth Port Company.

Under the terms of the agreement, IPH will acquire the existing port assets at Great Yarmouth in exchange for constructing a new outer harbour and making other investments to improve and expand Great Yarmouth’s port infrastructure. In addition, IPH entered into a joint venture with PSA International to develop and operate a short sea container terminal in the new harbour at Great Yarmouth.

The financial terms of the transaction and related agreements were not disclosed.

Last year, GIP acquired London City Airport through a consortium led by insurance giant AIG. It was acquired from Irish financier Dermot Desmond in a deal reported to value the airport in the region of £750m (US$1.4bn).

Dermot Desmond bought the airport from construction company Mowlem for just £23.5m in a deal completed in 1995 and looks to have recouped something in the region of a 30-fold return on his initial investment from the sale.

Sandrine Bradley