Jonh Laing Infrastructure Fund (JLIF) announced yesterday that it has secured a three year Revolving Credit Facility of £150 million with Lloyds TSB Bank plc, Royal Bank of Scotland plc and ING Bank NV. This facility will replace the existing £75 million facility with Royal Bank of Scotland plc. JLIF has the ability to raise debt up to 25% of its total assets. The margin on the agreed facility is 2.3% over LIBOR, and is subject to variation with the loan to value ratio.

The facility will be used primarily to fund acquisitions, and will be repaid through raising equity in the market.

This facility gives JLIF an immediate ability to be able to complete on larger portfolios or acquisitions from multiple vendors very quickly. The debt can be repaid through an equity issue which is more cost efficient for investors.