Global Infrastructure Partners (GIP) is seeking to raise £1.3bn (€1.56bn) for a fund to invest in Edinburgh Airport, according to one of its investors.
The School Employees Retirement System of Ohio confirmed in a board meeting report that it is committing $17m (€15.7m) to the GIP Edinburgh Airport Continuation Fund.
The pension fund told IPE Real Assets that GIP was seeking to raise £1.3bn for the fund. GIP declined to comment.
Earlier this year GIP sold a 50.01% stake in Edinburgh Airport to Vinci Airports for £1.27bn.
Ohio SERS had not previously invested in Edinburgh Airport, but it is not known whether other limited partners in the new fund will be new or existing investors.
Ohio SERS expects the fund to own between 40% and 50% of the airport.
The pension fund told IPE Real Assets: “The airport asset has an attractive yield and growth profile and is being managed by an established general partner with a good track record.”
Ohio SERS is projecting a target return for the fund of between 10% and 20%.
The investment will form part of its global infrastructure portfolio, which was valued at $1.3bn at the end of August.
The portfolio represents 6.5% of Ohio SERS’s total assets of $19.4bn, close to its target allocation of 7%.
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