News
16 August 2010
Morrison & Co PIP Fund Announces Melbourne Convention Centre Investment
The Morrison & Co Public Infrastructure Partnership Fund (PIP Fund) today announced a joint venture agreement with Plenary Group through which the PIP Fund will invest in the Melbourne Convention & Exhibition Centre Public-Private Partnership (PPP).
The Melbourne Convention Centre was completed in 2009 and includes a 5,000 seat hall, 32 meeting rooms and a grand banquet room. It is the first convention centre in the world to receive a '6 Star Green Star' environmental rating for design and has won a number of architectural awards.
Under the PPP model the public sector retains responsibility for attracting events to the Convention Centre. The private partner is contracted to build and maintain the facility, and receives a pre-agreed ongoing payment for making it available for use.
Steven Proctor, Executive Director of the PIP Fund, said the investment in the Melbourne Convention & Exhibition Centre provides an excellent opportunity for the Fund to participate in a high quality, operational PPP asset:
"This is an outstanding facility which is operating well and has a 25 year PPP contract in place. As such it represents an ideal long term, stable investment for our PIP Fund. The fact that we're able to invest under a joint venture arrangement with a specialist local PPP investor like Plenary Group makes this all the more attractive for us."
The New Zealand Ministry of Economic Development has announced its intention to develop a National Convention Centre and will soon be revealing its preferred location. Mr Proctor confirmed the PIP Fund's interest in investing in such a facility; "Whichever site the Government selects, the PIP Fund would like to fund and deliver the New Zealand National Convention Centre as a public-private partnership."
Mr Proctor also noted the recent New Zealand Government announcement that agencies proposing projects with a cost of more than $25m would be required to consider PPP procurement options and that, in the medium term, this should lead to more opportunities for the fund.
Morrison & Co's PIP Fund was established in October 2009 to make long term investments in social infrastructure assets (such as schools, hospitals or community facilities) through public-private partnerships. The PIP Fund is managed by Morrison & Co and its investors include the NZ Superannuation Fund and the NZ Social Infrastructure Fund.
This will be the PIP Fund's first investment. The transaction is subject to the consent of the Victorian State Government and the approval of the Foreign Investment Review Board.
21 June 2010
H.R.L. Morrison & Co Limited (“Morrison & Co”) announces the appointment of Anthony Muh as Executive Director of Morrison & Co
H.R.L. Morrison & Co Limited (“Morrison & Co”) announces the appointment of Anthony Muh as Executive Director of Morrison & Co and CEO of Morrison & Co’s asset management businesses based in Hong Kong. Anthony, a New Zealander with considerable experience in asset management began his career in New Zealand with Bank of New Zealand Investment Management. He then spent more than a decade with Citigroup Asset Management and Salomon Brothers Asset Management as its Asia Pacific Head of Investment and Chief Investment Officer. He was a member of Citigroup’s Hong Kong country Board and also a member of Citigroup Asset Management’s global asset management committee. More recently Anthony established the Asia Pacific office for Alliance Trust Plc, UK’s largest listed closed-end investment company and launched its inaugural asset management business. Anthony has been recognised in the industry with numerous awards and accolades. He is currently on the board of the Asia Corporate Governance Association and Hong Kong Securities Institute. He is an advisory board member for Euromoney Institutional Investors Plc and is a member of the New Zealand Business Advisory Board to the New Zealand Chamber of Commerce in Hong Kong.
Chairman Lloyd Morrison and CEO Marko Bogoievski noted “Anthony’s appointment is a significant step forward for Morrison & Co. We are opening an office in a major financial centre as a further window into international investment opportunities and capital markets. Anthony has had an association with Morrison & Co since 2007 as an independent director of Infratil. Over this period we have had the benefit of Anthony’s first hand perspective of Asia and emerging market’s growth and its increasing impact on world economies. We are confident that through Anthony, Morrison & Co will be able to extend its position as a successful alternative asset manager of global infrastructure and other assets.”
Anthony says “I am very excited to become a member the Morrison & Co Group. H.R.L. Morrison & Co is already recognised as one of the world’s top alternative asset managers specialising in infrastructure; it has an analytical and operational capability second to none. This is a fantastic platform to build and extend Morrison & Co’s capacity and capability to develop a focused suite of products and use its expertise to service investors both within New Zealand, Australia and around the world.”
3 May 2010
Successful close for New Zealand Social Infrastructure Fund capital raising
Morrison & Co PIP Limited and Craigs Investment Partners Limited are pleased to announce the successful close last Friday of the initial public offer (IPO) of shares by the New Zealand Social Infrastructure Fund Limited (NZSIF).
The capital raising closed with $41 million of committed capital from approximately 750 investors including private investors, community groups, charitable trusts, Maori trust organisations and Craigs Investment Partners itself.
NZSIF will invest as a Limited Partner in the Public Infrastructure Partners Limited Partnership (the PIP Fund), an institutional fund established to invest in public-private partnerships (PPPs) that deliver social infrastructure assets (such as schools, hospitals and local government facilities) to the community.
The NZSIF board is pleased with the outcome and the widespread investor support shown during challenging market conditions both globally and locally over the last two months. The amount raised represents the largest successful equity raising in New Zealand this year available to the investing public.
“The level of support from investors for NZSIF was pleasing, particularly with markets going through an unsettled period in recent weeks. It required investors to take a long term view and social infrastructure as an asset class is very well suited to that. It should also be noted that this is the first, and possibly only opportunity New Zealand retail investors have to invest in this new asset class,” said Neil Craig, Executive Chairman of Craigs Investment Partners and director of NZSIF.
In addition to the $41 million of committed capital raised for NZSIF, Morrison & Co is currently in discussions with several large investors and expects these to lift the total capital committed to the PIP Fund to date to approximately $160 million.
“We are delighted to have such a broad group of investors participating in the PIP Fund via NZSIF,” said Peter Coman, Managing Director of the Morrison & Co PIP Fund. “With the combination of retail and institutional commitments approaching $160 million, we are well on the way to our overall target of raising over $200 million for the PIP Fund.”
The PIP Fund is continuing its institutional capital raising process with final close of the institutional fund in October 2010.
Click here for the full media release
23 April 2010
Morrison & Co attracts experienced PPP investor to New Zealand
New Zealand infrastructure investor H.R.L. Morrison & Co has announced the appointment of Steven Proctor as Executive Director, Public Infrastructure Partnerships, to manage emerging deal flow.
Mr Proctor has been working in the public-private partnership (PPP) sector since 1995. Prior to joining Morrison & Co he was a Principal in the Private Equity department of Henderson Global Investors in the UK. Within the PPP sector he has worked as Sponsor (purchasing and bidding infrastructure projects), Lead Arranging banker (lending into several UK PPP transactions) and as a Financial Advisor (advising both project developers and various governments).
Peter Coman, Managing Director of the Morrison & Co PIP Fund, described Mr Proctor's appointment as an exciting development for the Fund and a very positive signal for the broader New Zealand PPP market:
"PPPs are well-established internationally, but are still an emerging investment sector in New Zealand. The fact that we've been able to attract a PPP investor of Steven's calibre and experience to this country is a great endorsement of the market opportunity here in New Zealand."
Mr Coman stated that Mr Proctor will add to Morrison & Co's capacity to assess, execute and manage PPP investments.
"Recent Government announcements regarding potential PPP projects in the Education and Corrections sectors have validated Morrison & Co's 'early-mover' strategy in the New Zealand PPP market," Mr Coman observed. "They also validate the New Zealand Superannuation Fund's decision to commit $100m to Morrison & Co's Public Infrastructure Partnership Fund."
"In addition to the new projects announced by Government, we are currently in due diligence on two existing PPP assets. Bringing Steven on board will give us greater bandwidth to manage this deal flow."
Mr Proctor said that he is excited by the opportunities offered by the New Zealand PPP market.
"Having been active in the early days of the PPP industry in the UK market and seen this investment sector mature over the last 15 years, I'm delighted to be able to be a part of the development of the PPP market in New Zealand. By drawing on lessons from international markets, New Zealand will be able to implement PPP models that deliver more cost effective infrastructure assets for taxpayers while also providing attractive, stable long term returns for investors."
Morrison & Co and Craigs Investment Partners are currently promoting the New Zealand Social Infrastructure Fund, which will provide an opportunity for retail and private investors to invest alongside the New Zealand Superannuation Fund in the social infrastructure PPP sector. This offer is due to close on 30 April 2010.
14 April 2010
The Morrison & Co Public Infrastructure Partnership Fund (“PIP Fund”) is pleased to learn that the Government intends to procure the new Wiri prison in a public private partnership (“PPP”).
Peter Coman, Managing Director of the PIP Fund said, “This announcement is a very strong endorsement of our initiative to form the PIP Fund and it is a strong validation of the value the public private partnership model brings to the procurement of social infrastructure by the Crown”.
“We are particularly pleased to see Infrastructure Minister Bill English’s statement that public private partnerships can provide better value to taxpayers, and his confirmation that the Government is open to broader private sector involvement in the delivery of social infrastructure.”
Click here for the full media release
22 March 2010
Morrison & Co believes that environmental, social and governance (ESG) issues play a vital role in NZ and Australia, and further afield.
In March 2010, we became a signatory to the UN Principles for Responsible Investment. We are committed to the implementation of the Principles in our operations. ESG analysis is an integral part of due diligence before Morrison & Co recommends an investment. Following investment, Morrison & Co will engage with the investee companies to implement ESG practices.
While some of our mandates are global in nature we have avoided countries where political risk and corruption represent material risk. As a guide we use the OECD Consensus Country Classifications. Currently, all our investments, without, exception, are in the highest quality category.
We believe that ESG issues will positively affect the performance of our investment portfolios in the long term.
15 March 2010
Morrison & Co and Craigs Investment Partners launch fund to invest in Social Infrastructure PPPs
Morrison & Co PIP Limited and Craigs Investment Partners Limited (“Craigs Investment Partners”) today announced an initial public offering of shares by New Zealand Social Infrastructure Fund Limited (“NZSIF”) to raise up to $125 million. NZSIF will enable New Zealand private investors to participate in the development of social infrastructure assets through Public-Private Partnerships (“PPPs”). Click here for the full media release
23 February 2010
Tim Skerman joins MCO investment management team in Sydney
HRL Morrison & Co is pleased to announce the appointment of Tim Skerman to its investment management team based in Sydney.
Tim has responsibility for business development, origination, and execution of infrastructure investment opportunities across Australia and NZ and joins as a senior executive of the specialist Australasian infrastructure investment manager. The major clients of Morrison & Co. include the NZX-listed entity Infratil limited and the NZ Superannuation Fund with over $5billion of assets under management.
Tim was most recently with Ecofin, an investment management firm specialising in listed and private investments in the utility and infrastructure sectors, where he originated and executed special situation investments globally and held portfolio responsibility for investments in Australia and New Zealand. His experience includes M&A, corporate finance and consultancy in the energy sector and he holds a Masters in Applied Finance from Macquarie University. Tim returns to Australia after 10 years in London.
Morrison & Co Chief Executive Marko Bogoievski highlighted the current opportunities in Australia and NZ. “Tim adds significant depth to the senior executive ranks at Morrison & Co. and will enable us to actively pursue the full range of infrastructure opportunities across Australia and NZ. Morrison & Co is well-placed to capitalise on it’s expertise in the energy, transport, airports and utility sectors."