3i European projects fund deploys €100m across four projects

3i Group’s European infrastructure projects fund has agreed to invest over €100m in four projects.

The €456m 3i European Operational Projects Fund (3i EOPF) has acquired a 90% stake in TDHOSP - Gestao do Edificio Hospitalar, the concessionaire in charge of Cascais Hospital, a 277-bed facility in Portugal. The stake was acquired from Teixeira Duarte Group.

In Italy, 3i EOPF has bought a 95% stake in MFM Capital, a portfolio holding company, from Rekeep. The portfolio comprises stakes in four hospitals located in Monza, Legnano, Verona and Modena, the Terza Torre office accommodation building in Bologna (in which 3i EOPF already owns a stake) and an electricity efficiency project in Alessandria.

The fund has completed the acquisition of DISA Assets, which leases a fleet of 54 new Alstom passenger trains to Abellio Rail Mitteldeutschland in Germany. DISA Assets was sold by NS Financial Services.

The fund, alongside infrastructure investor TIIC, has signed an agreement to invest in two motorway projects in the Republic of Ireland. The two projects are Fermoy, a 17.5km section of the M8 motorway between Dublin and Cork, and Limerick, a 10km section of the M7 ring road around the city of Limerick, including a 675m tunnel under the Shannon river.

The manager said the latest deals take 3i EOPF’s total investment to 40% of the fund within a year of final close.

The 3i EOPF fund invests in operational projects across Europe, with a focus on France, the Benelux, Germany, Italy and Iberia.

It targets a wide range of sub-sectors, primarily social infrastructure and transportation, but also telecoms and utilities.

Stephane Grandguillaume, partner in charge of origination for 3i EOPF, said: “These projects are a good fit for 3i EOPF and complement the fund’s existing portfolio.

“They are high quality, yielding projects which improve the diversification of the fund.”

Phil White, managing partner and head of infrastructure, 3i Investments, said: “We have made good progress in constructing a well-balanced portfolio for 3i EOPF through 3i’s pan-European projects platform active in eight countries in Western Europe.”