International Public Partnerships Limited (INPP) Earnings Call Presentation

Sizewell C Investment Highlights - INPP consortium has been selected as the preferred bidder for the Sizewell C project, committing approximately £250 million in total equity for an approximate 3% equity shareholding[25] - The investment will be deployed over five years, with approximately £50 million invested annually[25] - The project utilizes an adaptation of the Regulated Asset Base (RAB) model, similar to the Tideway project, providing attractive, regulated, risk-adjusted returns[25, 29] - Enhanced investor protections are in place through a UK Government Support Package (GSP) and bespoke license arrangements from Ofgem, insulating INPP from sector-specific risks and construction overruns[25] Financial and Strategic Rationale - The investment is expected to provide a compelling combination of cash yield and capital growth, with comprehensive downside protections[31] - The project offers predictable inflation-linked cash flows regulated by Ofgem, underpinned by critical infrastructure[32] - The investment is expected to deliver a low-teen IRR (Internal Rate of Return) with a fixed rate of return during construction and early operations, with no regulatory reset until the late 2030s[32] - The investment supports INPP's progressive covered dividend policy and is expected to be accretive to key portfolio metrics[32] Capital Allocation and Governance - INPP's investment in Sizewell C aligns with its capital recycling strategy, reinvesting capital from lower-returning assets into higher-returning investments[45, 47] - Strong governance rights are secured through Amber's HoldCo Board directorship and conflict of interest protections regarding the UK Government's equity and debt interests[52] - The UK Government holds a 45% stake in the project[52]