HSBC Holdings PLC (HBC) said it has sold its train rolling stock unit to an infrastructure group including Morgan Stanley (MS), 3i Infrastructure PLC (3IN.LN) and Star Capital for GBP2.1 billion.

The consortium, named Eversholt Investment Group, has long been in exclusive talks to acquire the asset, and has been conducting due diligence--looking at detailed financial information--for nearly five months following a drawn-out sale process.
The three members of the consortium put GBP176 million equity each into the deal with the balance being financed with debt. While this is a large slug of debt, rolling stock will provide a steady cash stream with which to fund interest payments.

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Posted by mopeng at November 4, 2010 4:59 PM