Generali backs €600m European infra fund

Generali, Palladio Finanziaria and Veneto Banca have set up Venice European Investments, a fund targeting infrastructure and private equity. The new vehicle is starting with €400m and is aiming to reach a final close of €600m. It will replace Generali’s Valiance infrastructure fund.

A trio of Italian financial companies have set up a new investment vehicle, known as Venice European Investments (VEI), to target infrastructure and private equity investments across Europe.

Insurance company Assicurazioni Generali, local bank Veneto Banca and holding company Palladio Finanziaria have announced that the new vehicle will start with a seed investment of €400 million, with Palladio Finanziaria being the fund’s biggest shareholder. A source close to the fund said it intends to raise as much as €600 million.

The fund will target infrastructure and private equity investments across Europe, but the source did not specify if it will split its portfolio equally among the two sectors, saying VEI will look at deals on a “case-by-case” basis.  VEI will, however, replace Generali’s previous infrastructure fund, Valiance, which failed to make any investments over the course of its existence.

Valiance was launched in 2008 and was aiming to raise over €1 billion to invest in European infrastructure. Its previous managers – Gianandrea Rizzieri and Michele Positano – will now join the board of VEI.