Exclusive: InfraVia targets €750m for Fund III

The French fund manager hopes to recruit limited partners from North America and Asia as it forges on with efforts to diversify its investor base.

InfraVia has launched a new infrastructure vehicle with an initial target of €750 million, according to the Paris-based firm’s founder and chief executive.

Having started pre-marketing its latest offering during the first semester of this year, InfraVia officially began raising Fund III in September, Vincent Levita, who doubles up as the company’s chief investment officer, told Infrastructure Investor.

The vehicle will follow a strategy similar to its €530 million predecessor, which focuses on midcap infrastructure assets primarily located in the euro zone. It will target sectors including midstream and downstream energy in Northern Europe and France as well as telecom towers and networks in Europe and the UK.

InfraVia hopes its latest fundraising effort will allow it to broaden its limited partner (LP) base beyond Europe, with Asia and North America firmly in its sights. Levita said he was optimistic investors in Fund III would include Canadian and Japanese institutions, with US and Chinese LPs also potentially joining in.

He declined to comment further on the expected time frame for the first deals and closing, but sources familiar with the fundraising process said two transactions, likely to be financed via Fund II and III, were progressing healthily.

It is understood that InfraVia won’t be looking to complete fundraising in one go, aiming instead for a first close before the end of the year that will probably involve a majority of European institutions. Sources also hinted that robust investor demand for Fund III could lead the firm to place a ceiling on the vehicle’s size a few hundred millions above its original target.

Fund II, which was 70 percent deployed as at end of August, acquired 300 Irish telecom towers from forestry business Coillte last summer.