DIF Capital Partners is expanding into infrastructure debt and could launch a fund for the strategy next year, sources have told Infrastructure Investor.
The Schiphol, Netherlands-headquartered fund manager, which has been investing in infrastructure equity since its formation in 2005, has been having internal discussions around the diversification, though there is no firm target for any fundraising at this stage, one of the sources said.
DIF has appointed London-based partner Paul Nash to lead the strategy. Nash has been with DIF since 2008, having joined from XL Capital, where he served as European infrastructure finance director. He previously spent six and a half years as a structured finance director at Helaba, focusing on power and telecoms. It is believed Nash could be joined by further recruits in the near future, while also leveraging DIF’s existing employee base across its nine offices.
Although DIF in recent years has expanded beyond Europe into Australia, Latin America and North America, the credit strategy will remain European-based with a senior and junior debt focus, according to the sources.
The fund manager is also believed to be in the early stages of fundraising for two equity vehicles: DIF Infrastructure VI, its latest flagship, for which it is said to be targeting €2.5 billion; and the Core Infrastructure Fund II, for which it is seeking €1 billion.
DIF declined to comment for this story.