PIC invests £40m in Scottish social housing

Pension Insurance Corporation has made its first investment in Scottish social housing with a £40m private placement to Eildon Housing. A drawdown of £15m will be deferred until 2020. The debt will be secured against Eildon assets and will mature in 2053 and 2055. PIC said this profile has been tailored to match its pension liabilities in years where it is difficult to source cashflows in the public bonds markets, as well as meeting Eildon’s borrowing needs. Eildon Housing will use the finance to support its development plan to deliver 750 new homes across the Scottish Borders by 2021. Liz