Zak Bentley
The Global Energy and Power Infrastructure Fund III has a $3.5bn target and is the first launched by the former First Reserve team following its acquisition.
The sovereign wealth fund’s investment comes ahead of a planned IPO by the company, which has increasingly been diversifying towards renewable energy globally.
The new offering has raised €1bn more than its initial target, with the next round of fundraising expected later this year or early next, EMEA head Leigh Harrison tells Infrastructure Investor.
The investment was made on behalf of an Australian LP and a new European client.
The ‘pure play’ energy infrastructure vehicle, which is also backed by EDF, has secured 15 investors including the European Investment Bank and Crédit Agricole Assurances.
Some 84% of investors surveyed told law firm DLA Piper that infrastructure project proposals in the UK have become too politicised.
Global Infrastructure Hub’s Chris Heathcote tells us emerging-market risk is ‘overblown’, as report finds $2trn investment need for 10 African countries.
The French banking group is attracted by the ‘very active’ US market, saying the potential move is not directly linked to President Trump’s focus on infrastructure.
The managing director of the Kuwaiti infrastructure manager brushed off renationalisation threats in the UK, saying it is ‘a country where rule of law exists’.
CEO Tobias Reichmuth tells us 75% of the fund’s projects must come with long-term capacity agreements, how SUSI is mitigating risk and the returns premium first-movers can extract from the sector.