GCP Infrastructure in £90m share placing

The listed fund secured £30m more than expected in its second offering since the EU referendum.

UK-listed infrastructure debt fund GCP Infrastructure has raised £90 million ($112.2 million; €105.5 million) through an oversubscribed share issue.

The company announced earlier this month that it was seeking to raise £60 million as part of its share placing programme. However, it explained yesterday that the GCP board had allowed the oversubscription to take place “in light of the investment opportunities available to the company in the near term and demand from investors for its shares”.

Speaking to Infrastructure Investor, GCP Infrastructure partner Stephen Ellis said the vast majority of the capital raised in this latest offering came from UK-based investors. These included London-based firm Close Brothers Asset Management, which increased its holding in the fund to just over five percent.

Ellis added that investors’ significant interest in the fund could probably be attributed to their appetite for dependable, low-volatility investments in an era of low interest rates. The proceeds, he explained, would be invested across the PFI, social infrastructure and renewables sectors that form GCP‘s core target market.

The placing marks the second share issue completed by the fund since the EU referendum in June. After initially proposing to raise £50 million in July, GCP ended up collecting £75 million through its previous issue.