Infrastructure India plc Trading Update and Statement re COVID-19 (3653G)
March 17 2020 - 2:00AM
UK Regulatory
TIDMIIP TIDMTTM
RNS Number : 3653G
Infrastructure India plc
17 March 2020
17 March 2020
Infrastructure India plc
("IIP", the "Company and together with its subsidiaries the
"Group")
Trading Update and Statement re COVID-19
Infrastructure India plc, an AIM quoted infrastructure fund
investing directly into assets in India, provides the following
update in relation to IIP's largest asset, Distribution Logistics
Infrastructure Limited ("DLI"), as a result of the global COVID-19
pandemic.
During the first quarter of the calendar year, DLI performed
well, with increased revenue and lower quarter on quarter costs and
timely project completion. Construction at Nagpur, including a
Private Freight Terminal and additional warehousing, is now
complete and operations at the new facilities have been ramping up.
Works are progressing at Bangalore and Palwal with both sites
expecting initial operations to commence in Q2 2020. At Chennai,
DLI is working through regulatory approvals and completion of the
terminal remains on target for the end of 2020.
The primary market impact of the global pandemic at present has
been an overall reduction in the flow of export-import goods
between India and China and changes in the flow of goods has had an
impact on the cycling balance of containers.
Reduced movements of goods and raw materials between China and
India has impacted some of DLI's customers' inventories and
therefore production and shipping. The changes in the balance of
movements of goods, as a result of the global pandemic, are
resulting in bottlenecks as empty containers need to be
repositioned to meet domestic and export shipments. In particular,
a current lack of available empty containers is having an impact on
Indian hinterland exporters.
The Group anticipates that this trend will become more evident
across the Indian domestic market, which imports raw materials from
China, in the near term.
It is too early for the Board to quantify the potential future
impacts of the global pandemic. Despite the progress at its
terminals made during Q1 2020, DLI management anticipate ongoing
volatility with freight volume and container cycles, given the
current and potential future impacts of the global pandemic.
The Company will provide further updates, as appropriate, in due
course.
Enquiries:
Infrastructure India plc www.iiplc.com
Sonny Lulla Via Novella
Cenkos Securities plc
Nominated Adviser & Joint Broker
Ben Jeynes / Katy Birkin +44 (0) 20 7397 8900
Nplus1 Singer Advisory LLP
Joint Broker
James Maxwell - Corporate Finance
James Waterlow - Investment Fund Sales +44 (0) 20 7496 3000
Novella +44 (0) 20 3151 7008
Financial PR
Tim Robertson / Fergus Young
The information communicated within this announcement is deemed
to constitute inside information as stipulated under the Market
Abuse Regulation (EU) No. 596/2014. Upon the publication of this
announcement, this inside information is now considered to be in
the public domain.
This information is provided by RNS, the news service of the
London Stock Exchange. RNS is approved by the Financial Conduct
Authority to act as a Primary Information Provider in the United
Kingdom. Terms and conditions relating to the use and distribution
of this information may apply. For further information, please
contact rns@lseg.com or visit www.rns.com.
END
TSTUNUKRROUOAAR
(END) Dow Jones Newswires
March 17, 2020 03:00 ET (07:00 GMT)
Infrastructure India (LSE:IIP)
Historical Stock Chart
From Apr 2024 to May 2024
Infrastructure India (LSE:IIP)
Historical Stock Chart
From May 2023 to May 2024