Initially planning to offer 8.9 million limited partners units, BIP increased the LP units on offer to 12 million citing “strong investor demand.” However, the underwriters of the offering, co-led by RBC Capital Markets, Credit Suisse, HSBC and TD Securities, had the option to purchase an additional 1.8 million units.
The underwriters chose to exercise the over-allotment option purchasing an additional 1,335,000 units, according to a recent statement, boosting the final amount raised by $60 million.
In addition to the 12 million LP units, BAM along with some of its related entities, also purchased 8,101,850 redeemable partnership units of Brookfield Infrastructure’s holding limited partnership. All units were sold at $45 a share.
Milbank, Tweed, Hadley & McCloy acted as US counsel to the underwriters of the offering.
In addition to pursuing new investment opportunities, BIP has previously stated that it would also use the proceeds towards other general corporate purposes, including paying down amounts outstanding under its revolving credit facilities. It did not disclose specific figures.
Listed on the New York and Toronto stock exchanges, BIP owns and operates utilities, transport, and energy assets worldwide.
In addition to infrastructure, BAM also focuses on property, renewable power, and private equity. It has more than $200 billion in assets under management.