Connecticut Retirement Plans and Trust Funds is considering Axium Infrastructure for a $200m (€184m) commitment, an investment that would represent their first partnership.
The commitment if approved will be placed into AxInfra NA II, a $7.1bn entity that comprises the AxInfra US II and Axium Infrastructure Canada II open-ended funds.
Connecticut Retirement intends to place $150m into AxInfra US II and $50M into the Axium Infrastructure Canada II fund.
The funds have a $300m entry queue which is expected to be called by the manager in the first half of 2024.
The funds target net internal rate of return of 7% to 9%, of which 3% to 5% is a net cash yield.
The funds’ portfolio of 252 individual assets have a heavy concentration in the US, which accounts for 96% of the assets, with the remaining 4% invested in Canada.
Renewable power and network utilities account for 39% and 34% of the assets respectively with transportation representing 13%, power generation excluding renewable accounting for 9% and social infrastructure representing 5% of the portfolio.
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