QMPF advised Bournemouth University on its recent £35m fundraising to support capital investment in the University’s Poole and Bournemouth Gateway projects, which will enhance both of its main campus locations.

We supported the University through the entire funding process – initially assisting with an options appraisal which assessed the University’s funding requirements and the development of the preferred funding solution.

QMPF also supported with arrangement of the facilities, delivering a competitive structure which provides both a long-term capital funding through a 20 year loan and meets the University’s liquidity requirements with a Revolving Credit Facility, from a single funding partner.

QMPF is pleased to announce it has advised on the successful sale of a 2.5MW anaerobic digestion facility. QMPF advised the vendor, Downing LLP (fund manager of the VCTs selling the plant), on the sale. Our role covered the valuation, potential financing, marketing and sale process.

The plant, Oak Grove Renewables, is located in Scottow and was commissioned in November 2013. The plant produces electricity from two CHP engines and an Organic Rankin Cycle. It is accredited under the Renewable Heat Incentive (RHI) and Feed-in-Tariff (FiT) subsidy regimes.

This sale process follows our recently reported sale of Vulcan Renewables.  Our client said of the transactions:

“The advice and support received from QMPF was instrumental during the potential financing and successful sale of two of our AD plants.”  Michael Hughes, Downing LLP

QMPF has successfully closed the £16.5m Angus Schools hub East Central Scotland transaction, this hub deal will see the design, build, finance and maintenance of two primary schools in Arbroath.

The primary schools, Ladyloan and Muirfield, and will provide vital education facilities for 335 pupils and 72 nursery places. Construction started shortly after financial close and the schools will open in December 2018.Both schools will be operational under the contract for 25 years.

The SPV parties are Angus Council, Scottish Futures Trust, Robertson Capital Projects, Amber Infrastructure Limited and FES.

The majority of the funding for this project has been provided by Aviva Commercial Finance (£15m) with an additional £1.6m provided as subordinated debt.

QMPF delivered financial advice and CMS Cameron McKenna provided the legal advice to the sponsor. QMPF supported the sponsor throughout the deal process, delivering the financial model and securing the pricing from Aviva Commercial Finance. QMPF provided general commercial advice throughout the transaction, contributed to the financial aspects of the legal documents and ensured that financial close was achieved.

Gary Bushnell, Chief Executive of hub East Central Scotland Limited said: “QMPF offered a responsive and professional service throughout this transaction. The QMPF team communicated effectively with the Council’s financial advisors, the legal advisers and the model auditors to ensure that outstanding points were efficiently managed and resolved quickly. We were pleased with the prompt response times and attention to detail demonstrated by QMPF during this transaction and we look forward to working with QMPF on future deals.”

QMPF advised Leeds Beckett University on securing a £50m debt facility from HSBC to support the University’s capital expenditure plans.  These include the construction of a state-of-the-art “Creative Arts Building” which will be the home of the University’s School of Film, Music and Performing Arts, plus the fashion department. It will contain specialist facilities including a performance theatre and 220-seat Dolby Atmos movie cinema, as well as dedicated studios for fashion, music, film and television. This flagship development is in the new Innovation District in the city, in the heart of Leeds’ Civic Quarter.

QMPF assisted the University by assessing the various funding options available and ran a debt funding competition to obtain a funding solution which met the University’s objectives.

Further details of the University’s projects can be found at:

http://www.leedsbeckett.ac.uk/facilities/creative-arts-building/

Philip Harrison, Director of Finance, Leeds Beckett University, said “QMPF were able to draw on their extensive knowledge and experience of the sector in helping the university achieve an excellent result. Their professionalism and responsiveness throughout was exemplary”.

QMPF advised hub West Scotland Project Company 6 Limited (“DBFMco”) on the Carntyne and Blairdardie Primary Schools hub project, the sixth Design, Build, Finance and Operate (DBFM) project signed by the territory. The SPV consists of Wellspring Partnership (a consortium of Morgan Sindall Investments, Community Solutions and Apollo Capital Projects), Scottish Futures Trust Investments and HCF Investments. The project combines the delivery of both Blairdardie and Carntyne Primary Schools as a single transaction, delivering new 21st century schools in both the east and west of Glasgow.

Financial close was achieved in October 2017. The senior funding of c.£17m is being provided by Nord/LB with subordinated debt from DBFMco of c. £1.5m.

QMPF provided financial advice to the consortium, with Burness Paull providing legal advice. Our role included development and management of the financial models through affordability, Scottish Government/SFT approval gateway and financial close stages of the project. We liaised with the sponsors, funder and model auditor to efficiently conclude the financial modelling for the project and provide all parties with project sensitivities sufficient to support the delivery of funding. QMPF also assisted Burness Paull with the review and negotiation of the project documents and led the debt pricing process at financial close.

QMPF is pleased to announce it has advised on the successful sale of a 5MWth anaerobic digestion facility to the listed environmental investment fund John Laing Environmental Assets Group (JLEN). QMPF advised the vendor, Downing LLP (fund manager of the VCTs selling the plant), on the £15.3m sale. Our role covered the valuation, potential financing, marketing and tender process for the sale.

The plant, Vulcan Renewables, is located Hatfield Woodhouse near Doncaster, was commissioned in October 2013, and was one of the first commercial biogas-to-grid projects in the UK. The plant also has a 0.5MWe CHP engine and is accredited under the Renewable Heat Incentive (RHI) and Feed-in-Tariff (FiT) subsidy regimes.

This is JLEN’s first investment in the anaerobic digestion sector which was acquired in partnership with the experienced operator Future Biogas who will continue operations of the plant.

Clare Lacey, Partner at QMPF said “This transaction once again demonstrates the breadth of QMPF’s renewable energy sector expertise and our skills in selling complex infrastructure assets.”

Michael Hughes, Downing LLP, said “The advice and support received from QMPF was instrumental during the potential financing and successful sale of our AD plants.”

QMPF advised Bournemouth University on the disposalof the 497 bed Cranborne House at the University’s Lansdowne Campus to Campus Living Villages.

The University raised a capital premium from the sale and will have continuing access to the residences for its students through a long-term nominations agreement. The transaction adds to the three properties Campus Living Villages already owns and manages in Bournemouth, and takes the total beds it operates in partnership with the University to 1,201. CLV’s purchase was funded by an income strip provided by Aviva.

QMPF advised on the financial aspects of the funder’s agreement and its commercial implications for the University, and assisted in taking the transaction to financial close.

QMPF supported Edinburgh Napier University in raising a £40m bank facility.

Our role included analysis and negotiation of terms and structures offered from potential funders and renegotiation of covenants with the University’s existing funder. A £40m 5 year revolving credit facility was secured from the Bank of Scotland with the option to extend to a term loan for a further 5 years.

QMPF advised the University of Gloucestershire on the final stages of agreeing its partnership with Cityheart for the development of off campus student residences, located near to the Docks in Gloucester City Centre.

The £25m project involved the design, build, finance and operation of 295 beds and a car park and was funded by a 50 year income strip provided by Aviva. QMPF was appointed to advise on the financial aspects of the funders agreement and the financial and commercial implications on the University.

QMPF provided financial advice in support of reaching financial close on the hub South West Scotland Limited Cumbernauld Academy and Theatre project.

Our engagement, for the provision of advice to North Lanarkshire Council as both project Participant and customer, supported the agreement of a £37m design, build, finance and maintain contract using the hub structure. The QMPF team advice assisted the Council in understanding the financial model developed for the transaction, finalising discussions with the hubco, the funder (NordLB), Scottish Futures Trust and relevant advisers, and ensuring that the financial model appropriately reflected the agreed costs, financial inputs, indexation of the annual unitary charge and payment phasing.

The project will build on the Council’s track record of delivering their schools estate investment programme by providing both a new school building offering high-quality learning facilities that promote the educational environment of all learners, as well as a new Arts Centre. The Arts Centre will include a theatre, cinema and bistro with superb facilities for drama, dance, music and film which will enable Cumbernauld Theatre to present a wider range of performances, bringing great experiences for audiences and world-class facilities for classes, workshops and community participation.