HICL Infrastructure and TRIG will not proceed with their proposed combination after the HICL board determined it could not advance the transaction without a substantial majority of support from its own investors, the companies said.
Both boards said they remain convinced of the strategic rationale for the merger and added that each business is well positioned independently.
The companies previously announced plans to merge to form the UK’s largest listed infrastructure investment company worth almost £5bn, according to Reuters.
The deal was set to bring together HICL’s portfolio of more than 100 core infrastructure assets with TRIG’s 2.3GW renewables portfolio covering solar, wind and battery storage across Britain and Europe.
The proposed structure involved a voluntary winding up of TRIG, with its assets transferred to HICL for new HICL shares and a 350 million pound liquidity package, Reuters added.
HICL shareholders were expected to hold about 56% and TRIG shareholders about 44% of the combined firm, according to Reuters.
Analysts at RBC Capital Markets said at the time the merger was a “positive move,” citing increased scale and the combined fund’s ability to pursue higher overall returns.
The combined company was set to target an annual dividend of 9 pence per share with a projected net asset value total return of over 10% per annum, Reuters reported.
The deal had been expected to close in the first quarter of 2026.