This is part of a total £600 million commitment made from investors to Rock Rail Infrastructure.
6 Oct 2016
Legal & General is helping to finance a new state-of-the-art fleet of 58 trains, or 378 vehicles, for the East Anglia rail franchise run by Abellio. The long term debt investment by Legal & General Retirement (LGR) and LGIM clients is part of a total £600 million commitment made from investors to Rock Rail Infrastructure.
Legal & General has invested £8 billion in UK infrastructure, direct investments and urban regeneration projects, and aims to invest £15 billion. Long-term capital is used to invest in the new assets, providing income for pension funds and stimulating UK economic growth.
Kerrigan Procter, Managing Director of LGR (photo, top right), said: “Transport infrastructure is a great investment for us, as the long term income it produces helps to pay our customers’ pensions. In transport we’ve backed the UK’s first new port in over two decades with £250 million of funding, and are now helping to modernise the UK’s railways. Infrastructure investment creates new jobs and drives economic growth, which is good for business and customers.
The new rolling stock, supplied by Swiss manufacturer, Stadler, will include climate-controlled air-conditioning, Wi-Fi, power sockets, latest information services and reduced noise for passengers.
Nicholas Bamber, Head of Private Credit, LGIM Real Assets, added: “This is our first rail-related private debt investment for LGIM’s clients and further expands their exposure to essential infrastructure projects in the UK. There is a considerable need in the UK for new rolling stock in order to reduce overcrowding and improve train services and our clients have a significant appetite to finance such assets.”
Established in 1836, Legal & General is one of the UK's leading financial services groups and a major global investor, with over £1.2 trillion in total assets under management* of which 39% is international. We have a unique and highly synergistic business model, which continues to drive strong returns. Legal & General provides powerful asset origination and management capabilities directly to clients, which also underpin our leading retirement and protection solutions. We are a leading international player in Pension Risk Transfer, in UK and US life insurance, and in UK workplace pensions and retirement income. Our purpose is to improve the lives of our customers and create value for our shareholders. Through inclusive capitalism, we are investing in long-term assets, such as real estate and infrastructure, that can help build a better society for the future.
*as at HY 2023
Legal & General Retail Retirement’s mission is to help its customers lead longer, healthier, happier lives. We believe everyone should be able to have a ‘more colourful retirement’. The Division comprises the Group’s retirement savings and income, later life lending and care solutions businesses. In 2020, LGRR wrote £910 million of annuity premiums and issued £791 million of lifetime and retirement interest only mortgages.
*at 31 Jun 2021
LGIMRA is a division of Legal & General Investment Management (LGIM), one of Europe’s largest
institutional asset managers and a major global investor. LGIM manages £1.29 trillion1 ($1.57tn) in
assets, working with a range of global clients, including pension schemes, sovereign wealth funds, fund distributors and retail investors.
LGIM Real Assets has assets under management of £36 billion2 ($43.8bn) and is one of the largest
private markets investment managers in the UK. Investing in both debt and equity and across the
risk/return spectrum, LGIM Real Assets actively invests in and manages assets across commercial,
operational and residential property sectors, as well as infrastructure, real estate, corporate and
Taking a long-term view in order to future proof our investments, LGIM Real Assets continues to lead the industry in ESG performance, considering all environmental, social and governance issues at asset level as well as portfolio level.
1LGIM internal data as at 30 June 2022. These figures include assets managed by LGIMA, an SEC Registered Investment Advisor. Data includes derivative positions.
2Source: LGIM Real Assets. AUM data as at 30 June 2022.
*at 13 Jan 2023
For professional clients only. Past performance is not a guide to the future. The value of an investment and any income taken from it is not guaranteed and can go down as well as up, you may not get back the amount you originally invested. Views expressed are of LGIM as at 12 January 2023. The Information in this document (a) is for information purposes only and we are not soliciting any action based on it, and (b) is not a recommendation to buy or sell securities or pursue a particular investment strategy; and (c) is not investment, legal, regulatory or tax advice. Legal & General Investment Management Limited. Registered in England and Wales No. 02091894. Registered Office: One Coleman Street, London, EC2R 5AA. Authorised and regulated by the Financial Conduct Authority, No. 119272.