DIF buys into Irish road PPP

The fund manager has picked up a 45% stake in the M50 from Spain’s Sacyr.

Dutch fund manager DIF has purchased a 45 percent stake in an Irish road public-private partnership (PPP) from Spanish concessionaire Sacyr Vallehermoso, DIF announced last week.

The deal, which closed for an undisclosed amount, will see DIF’s third infrastructure fund buy into the M50 – a C-shaped ring road around Dublin. The project has been operational for two-and-a-half years and has 29 years outstanding on its concession.

The M50 PPP carries no traffic risk and is instead backed by availability payments – regular government contributions paid in exchange for making an asset available in good condition.

DIF has been busy investing its third infrastructure fund, which closed on €800 million towards the end of March, beating a €750 million hard cap. In July, the fund manager purchased two UK solar plants and earlier this year DIF increased its ownership in a portfolio of 10 Private Finance Initiative (PFI) projects to 90 percent.

DIF has raised €1.6 billion of equity since inception and invests in PPP/PFI and renewable energy assets across Europe and North America.