Global Infrastructure Partners (GIP) has raised US$2.8bn (€2.27bn) for two infrastructure debt funds, GIP Capital Solutions Fund II (CAPS II) and GIP Spectrum Fund.
Both funds secured $1.4bn each from investors that included public and private pension plans, sovereign wealth funds, insurance companies, financial institutions, asset managers, endowments and high-net-worth individuals from North America, Europe, Asia and the Middle East.
GIP CAPS II makes debt and non-common equity investments in midstream energy, power, renewables and transport assets primarily in OECD countries, while GIP Spectrum focuses on lower-risk debt-only investments in the same sectors and geographies.
GIP Credit, the debt arm set up by the infrastructure manager in 2015, has made a number of debt investments recently, lending US$110m to Puerto Antioquia, a greenfield multipurpose port terminal in Colombia, and the purchase of US$325m of senior-secured notes issued by Whistler Pipeline, a greenfield natural gas pipeline that will connect the Permian Basin to the Agua Dulce hub near Corpus Christi, Texas.
Jennifer Powers, GIP Partner and chair of GIP Credit, said: “In a market environment characterised by low interest rates, we believe our ability to provide customised financing solutions to issuers will give each fund a distinct and unique competitive angle.
“This will enable us to generate attractive risk-adjusted returns for our investors, with a focus on enhanced downside protection and capital preservation.”
Adebayo Ogunlesi, chairman and managing partner of GIP, said: “GIP Credit is an integral part of GIP and we are excited by this successful fundraising.
“We believe the GIP Credit team’s in-depth sector knowledge and lending expertise, combined with their ability to leverage GIP’s best-in-class infrastructure investing platform, will allow both funds to deliver on their investment objectives.”
