Allianz Global Investors has raised more than €600 million for its first global infrastructure equity fund, two-thirds of the way towards reaching its €900 million target.
The fund, which will be managed by Allianz Capital Partners, AllianzGI’s alternatives asset manager, was launched earlier this year and shortly after ACP raised €860 million for the Allianz European Infrastructure Fund, the firm’s first attempt to raise and manage third-party capital.
However, unlike AEIF which invests primarily in core assets in the eurozone, the Allianz Global Diversified Infrastructure Equity Fund, will invest in infrastructure funds, acquire secondary stakes in such vehicles, as well as pursue co-investments “alongside our fund manager partners”, a spokeswoman for the Munich-based firm told Infrastructure Investor.
Asked why Allianz chose to pursue a different strategy than that of AEIF, the spokeswoman said: “The AGDIEF mirrors the second pillar of the Allianz investment strategy in infrastructure. One is direct, mirrored by AEIF; the other one is indirect, mirrored by AGDIEF.
“It therefore enables the ‘co-investing with Allianz’ approach as Allianz will in both funds contribute at least half of the capital invested in each investment,” she explained.
According to a statement, through AGDIEF Allianz will seek to build a diversified portfolio of core, core-plus and value-add infrastructure assets across the energy, transportation, communications, environmental and social infrastructure sectors.
It will focus on OECD countries and other developed markets, “but emerging markets are [also] explicitly part of the investment mandate”, the spokeswoman said.
All the investors that have committed to the fund to date are from Europe, the spokeswoman said, and final close is expected to take place “in substantially less than 12 months”.
Asked what the fund’s hard-cap was set at, the spokeswoman said, “we have not communicated a hard-cap”.