Carillion sells on BSF projects
CARILLION has passed on eight Building Schools for the Future (BSF) projects to an investment firm for an undisclosed sum.
The Wolverhampton construction and services giant has sold the projects to International Public Partnerships Limited (INPP), an investment firm dedicated to PFI projects.
INPP is able to buy the projects from Carillion because it has pre-emptive rights as part of its 100% stake in Building Schools for the Future Investment (BSFI), which it acquired from the Department of Education and Partnerships UK in August 2011 for £60m.
INPP expects to invest around £30.3m in the schools and on full completion of the acquisition will hold majority investment interests in BSF school projects in Wolverhampton, Nottingham, Rochdale, Durham and South Tyneside and Gateshead and a 46% investment in Tameside BSF project (where Tameside Metropolitan Borough Council will hold an equal stake).
The BSF programme was an initiative launched in 2004 by the Labour government, with the aim of rebuilding or re-modelling every secondary school in England over a 20 year period. Although the longer term BSF programme has now been cancelled by the Government, the schools concerned in this deal were the subject of the programme prior to its cancellation.
