London-headquartered manager iCON Infrastructure has closed its fifth fund on $1.9 billion marginally above its target of $1.8 billion and in a little more than three months.
iCON Infrastructure Partners V is the firm’s first dollar-denominated fund. Its previous four funds had been raised in euros, with the fourth fund closing on €1.2 billion in 2017.
iCON declined to comment on why it has shifted to dollars, but Infrastructure Investor understands this has been motivated by the manager’s trajectory in recent years to both raise and deploy capital in North America. North American LPs formed the largest proportion of investors in the latest fund, accounting for 42 percent of LPs in the vehicle compared with 34 percent in fund IV. In total, the number of investors increased from 47 to 65.
Investors in the fund include the New Mexico State Investment Council and the Ohio Police and Fire Department, which both committed $75 million. The presence of such pension funds comprised 67 percent of LPs, the same as in fund IV, although there was a boost in commitments from insurance companies.
It is understood the vast majority of the fundraising took place before the spread of the covid-19 outbreak and did not impact fundraising. iCON has closed previous funds within three months of launching.
It is yet to make any investments from the fund and will target North American and European assets in the utilities, energy, transport and social infrastructure sectors, targeting a gross IRR in the mid-teens.