Cordiant Digital Infrastructure

£300 million IPO target as Cordiant Digital Infrastructure goes public

25 January 2021 | Melanie Mingas

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Cordiant Digital Infrastructure is targeting a raise of £300 million as it lists on the specialist fund segment of the main market of the London Stock Exchange.

The company is targeting an issue of 300 million ordinary shares at an issue price of 100p via an initial placing and an offer for subscription. It said it is targeting an initial dividend of 1p per ordinary share in the first full financial year, rising to 2-3p in the second full financial year and, thereafter, a progressive dividend, rising to at least 4p in the fifth full financial year.

Investments will focus on digital infrastructure such as data centres, mobile telecommunications towers and fibre-optic network assets, mainly located in the UK as well as the wide European region and the US and Canada.

"The need for substantial investment in digital infrastructure in the developed world has been starkly highlighted by our experiences during the global Covid-19 pandemic, whilst the increasing digitisation across societies has the potential to have a transformative impact on the global climate and societal challenges that we face," said Cordiant's chair, Shonaid Jemmett-Page.

"In Cordiant, the investment trust will have access to a specialist investment manager with industry-leading experience and the ability to take advantage of the substantial opportunities in the sector," Jemmett-Page added.

The firm's London office, headed by MDs Stephen Foss and Peter-Barrett Lennard, opened in 2019. In January 2020, the firm appointed David Kippen, and Hagai Shilo to its Telecommunications Infrastructure Equity Team.

Investec Bank will act as the sole financial adviser, global coordinator and broker for the listing.

A prospectus is scheduled to be launched this coming Friday.