Allianz holds €860m final close on maiden infra equity fund

Allianz beat the Europe-focused fund’s target size in October and for a second time at final close.

Allianz Capital Partners has reached an €860 million final close on its first-ever European infrastructure equity fund.

The firm closed the Allianz European Infrastructure Fund after nine months on the road and €360 million above its original €500 million target. Allianz increased the target in October to €750 million when it reached a first close on more than €600 million, thereby ensuring the target was twice beaten.

A spokeswoman for Allianz confirmed to Infrastructure Investor that there was no hard-cap for the fund. She added that all of the investors in the fund are of European origin.

The vehicle is Allianz’s first attempt at investing in infrastructure equity through an external fund structure, though the firm has previously raised infrastructure debt funds through its insurance clients.

One of the group’s previous equity investments, Finnish electricity distribution group Elenia, is being used to seed AEIF. Allianz initially invested in the asset in 2017, alongside Macquarie Infrastructure and Real Assets and the State Pension Fund of Finland. Allianz said in a statement that its insurance clients will take at least a 50 percent stake in every investment the fund makes.

AEIF targets investments in the energy, communications and transport sectors. Allianz has declined to state a targeted return figure for the fund.