International PPL reports no Covid-19 effect

International Public Partnerships (INPP) said the coronavirus had no impact on its cashflow and the operational performance of its assets was as expected.

The FTSE 250 infrastructure investor said its investment adviser, Amber Infrastructure, was fully resourced and managing the portfolio. This work has focused on maintaining service delivery, availability of facilities and assurance of cashflows.

The company said its balance sheet was robust and that it had drawn only £9.5m of a £400m revolving debt facility that matures in July 2021. It has about £70m of cash on top of cash held in its investments.

INPP said it had special Covid-19 risk tools to help asset managers intervene and protect value. Where INPP holds a minority stake it has asked management teams to carry out similar work.

Schools make up a significant part of INPP's assets but closures in the UK and Germany, with more likely in Australia, will leave the company "in a no worse position" it said.

Covid-19 poses risks such as staff shortages and supply chain breakdowns but most of its revenue comes from availability-based payments or regulated cashflows that help protect against bad conditions. Assets that depend for revenue on being available are available, it said.

"Whilst the full consequences of the pandemic and its effects cannot yet be known, the company believes that its business model and diversified portfolio continue to offer a significant degree of protection to shareholders and is reassured by the operational performance of its assets to date," INPP said.

INPP shares fell 3.8% to 131.65p at 09:39 GMT.