The two projects that have reached financial close are the North Swindon Schools project and the Cleveland Police facilities project.  

At a capital cost of £68 million, the North Swindon schools project will provide seven new schools (2 secondary, 3 primary and 2 special needs schools). Equion holds 100% of the equity in the project company and Equion FM will deliver facilities management services supporting the new facilities. The concession period is 25 years post-construction, and the project is expected to become fully operational in mid-2007.

The £27 million capital cost Cleveland Police project will deliver new Divisional  Headquarters complexes in Middlesborough and Kirkleatham and new town centre police offices at Redcar and Southbank.  The project is expected to become fully operational in early 2007 and the concession period is 25 years. Equion holds 42.5% of the equity in the project together with partners Bank of  Scotland (42.5%) and Reliance Secure Task Management Ltd (15%), who will deliver the support services.

Achievement of financial close on these two projects brings the total number of projects in the John Laing plc portfolio to 45.

In relation to the Newcastle Hospitals’ redevelopment project, Royal Bank of Canada have been mandated to act as sole arranger and sole book runner on a bond issue, to be wrapped by XL Capital Assurance (U.K.) Limited, and which is expected to be rated AAA/AAA by Standard & Poors and Moody’s. 

These additions to the portfolio follow the SRA's announcement on April 1 that a Laing Rail-MTR joint venture has been short-listed to bid for the Thameslink franchise.  MTR Corporation runs train services which carry 25% of Hong Kong’s total franchised public transport and is renowned for its reliability as well as its range of entrepreneurial activity.

Commenting on the bid, Andy Friend, John Laing Chief Executive, said:

“Thameslink serves areas with similar demographics and transport needs as the popular and successful Chiltern line. MTR achieve an enviable standard of excellence in all their operations, systematically addressing service needs in difficult mass transit operating environments. We have formed a strong partnership and are confident that we can make a competitive offer for the Thameslink franchise.”  

For further information, please contact:

John Laing plc
Andy Friend/Adrian Ewer
Tel: 020 7901 3200

Finsbury Group
Edward Orlebar/Gordon Simpson
Tel: 020 7251 3801

Notes to Editors:

John Laing plc is the UK’s listed market leader in PPP/ PFI infrastructure projects.  It currently invests in 45 PPP/ PFI projects in the rail, roads and accommodation sectors.

Equion, part of John Laing plc, is a specialist provider of facilities in the PFI and PPP markets with a long-term perspective and approach.   The company manages and delivers projects from planning and funding through to design, construction and operation.  It is actively involved in the management of a wide range of health, education, police, defence and special purpose government facilities.