PensionDanmark has invested DKK4bn (€536m) in an infrastructure fund launched by Copenhagen Infrastructure Partners.
The Copenhagen Infrastructure II fund, which has a total commitment of DKK14.7bn, has been backed by 19 institutional investors from Norway, Sweden and the UK.
PensionDanmark chief executive Torben Möger Pedersen said: “A larger community of investors also ensures a strong set-up and lower costs compared with the sizeable investments on the energy market that the fund stands facing.”
PensionDanmark now has DKK16.8bn in infrastructure, with almost half – or DKK7.2bn – managed by Copenhagen Infrastructure Partners.
The new fund will focus on energy infrastructure in Northern and Western Europe, as well as in North America.
The fund has invested in a biomass power plant in England and two offshore wind projects in Scotland and Germany.
“In these years, we are substantially increasing our investments in infrastructure, as this type of investment provides stable and attractive returns for our members, year after year,” Pedersen said.
“Consequently, we have had a very satisfactory collaboration with CIP, which we look forward to proceeding with in the new fund.”
CIP’s first fund, Copenhagen Infrastructure I, was established in 2012 on an initiative from PensionDanmark – at the time the only investor.
The fund has invested in wind farms, biomass power plants and a grid connection in the UK and the German North Sea.