U.K.-based entity High Speed Rail Finance PLC (HSRF) has issued £314 million of senior secured rated debt. S&P Global Ratings has given a long-term ‘A-’ rating and stable outlook to HSRF’s issue, due to the project’s strong stand-alone credit profile.
In addition to a lack of construction risk, S&P argues that the project benefits from an established, transparent, and supportive regulatory framework, combined with a competitive position and very low market risk overall. These views are based on the fact that HSRF and sister company High Speed Rail Finance 1 (HS1) hold a strong competitive position as the sole high-speed rail connection between London and continental Europe.
The debt issue has been found especially attractive to North American investors, proving that UK infrastructure investment is still strong post-Brexit.