Last year was a record one for infrastructure fundraising, according to figures compiled by Infrastructure Investor Research & Analytics.
In total, $48.3 billion was raised by the asset class. This beat the previous highest total of $46.4 billion in 2013 and represents an impressive bounce-back from the nadir of 2009, when less than $12.0 billion was raised.
The largest individual fundraising of 2014 was that by the Global Strategic Investment Alliance (GSIA), an unlisted co-investment infrastructure vehicle that was set up by Canada’s Ontario Municipal Employees Retirement System (OMERS) to invest in big-ticket global opportunities. GSIA collected almost $12.6 billion during the year.
Other significant capital raisings during the course of 2014 included Energy Capital Partners ($5.0 billion), First Reserve Corporation ($3.75 billion), Macquarie Group ($3.0 billion) and Antin Infrastructure Partners ($2.9 billion).
However, while the volume of capital raised in recent years has been climbing, the capital is being raised by a smaller number of funds. From a peak of 67 managers closing funds in 2011, this number has fallen to 64 in 2012, 61 in 2013 and 53 last year.
A clear majority of funds raised in 2014 were either for global or North American opportunities, accounting for almost $22 billion and more than $16 billion respectively. It was a relatively subdued fundraising year for regions outside North America.
Around half of the capital raised last year was by funds with a diversified strategy. For those with a sector-focused approach, it was a strong year for energy funds with almost $9 billion raised.