Allianz’s AGDIEF II reaches €550m at first close

The German asset manager has raised more than half its final target for its sophomore global diversified fund, achieving a 60% re-up rate to date and having deployed more than 90% of Fund I.

Allianz Global Investors, the asset management arm of the German insurer, has reached a first close of €550 million on its second global diversified infrastructure fund, which was launched late last year.

The Allianz Global Diversified Infrastructure Equity Fund II, which has a final target of €1 billion and a re-up rate of more than 60 percent so far, will continue the strategy of its predecessor. It will pursue primary fund commitments, secondary transactions and co-investments globally in core, core+ and value-add infrastructure assets in the energy, transportation, communications, environmental and social infrastructure sectors. It will invest primarily in OECD countries and other developed markets, but there is also scope for investments to be made in emerging markets.

And like AGDIEF I, Allianz will provide at least 50 percent of the capital to each transaction made through Fund II.

However, unlike the first fund, which was launched before the EU Sustainable Finance Disclosure Regulation came into effect, and closed on €1 billion in January 2021, Fund II will be classified as an Article 8 fund under the SFDR.

AGDIEF II’s first close comes as more than 90 percent of Fund I has been invested. According to a spokesman, capital has been committed to roughly “15 best-in-class infrastructure equity funds who are either globally diversified, region-focused or sector-focused … [and] we have made around 10 co-investments in areas such as digital infrastructure, environmental and transport”.

As for Fund II, “the investment closings are imminent”, the spokesman told Infrastructure Investor.

Both funds are managed by Allianz Capital Partners, one of Allianz Group’s alternatives asset managers and part of AllianzGI.