RUBSF - Macquarie Infrastructure: Might Reload Soon But Will Compete Fiercely In Allocating

• MIC has sold all its operating assets to private equity, with Atlantic Aviation commanding a strong multiple close to 20x, in line with Signature's.
• The net non-operating assets are unsurprisingly zero, but the markets are still attributing value to the company as a vehicle for making their infrastructure investments.
• At this point, the decision to invest in MIC is to do with confidence in the management and the investment landscape with respect to the current $300 million valuation post-dividends.
• We think that management will struggle to find exceptional investments in the current market competing against government funds and cash flush allocators in private markets.
• We don't see any reason to invest in MIC when there are so many other private investment vehicles like SPACs on the market, and where governments will drive down ROICs in their allocations.

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