AMP Capital launches second infrastructure debt fund
AMP Capital has launched another infrastructure debt fund and expanded its investment team to meet significant growth in demand.
The AMP Capital Infrastructure Debt Fund II (IDF II) is aimed at meeting increased demand from institutional investors in Asia, Europe and North America. IDF II is launched with a fund raising target of $1bn.
The fund will invest in the subordinated debt of infrastructure assets in the essential services of water, gas, electricity and transportation in Europe, North America and Australia.
The first IDF fund, launched in late 2010, closed to new investment in June this year. The fund attracted €400m from 30 global institutional investors including Chinese, Japanese, US, German, Australian and UK pension and endowment funds.
So far, IDF I has so far invested €218m in six subordinated loans in Europe and North America.
Andrew Jones, AMP’s global head of infrastructure debt, said: “Significant growth in demand for infrastructure investment in developed markets, combined with the attractive market environment and strong deal flow, makes it an opportune time for us to launch a second infrastructure debt fund.”
Jones said: “With increased demand for infrastructure debt investments, we are aiming to raise $1bn for the new fund. Our global market leading team with an 11-year track record of generating consistent returns through economic cycles is strongly positioned in terms of its objective to generate attractive yield-focused returns for investors.”
AMP Capital has appointed Patrick Trears to the new role of director in the infrastructure debt team based in New York, to invest in increasing opportunities for debt investment in essential infrastructure assets across North America.
Trears joins AMP Capital from WestLB, where he was responsible for project and acquisition finance transactions in the Americas. Prior to this he held structured and project finance positions at Hypo Real Estate, Citi Investment Bank and DEPFA Bank (Ireland). He reports to Jones.
AMP Capital’s global infrastructure debt team has eight investment professionals located in London, New York and Sydney. The investment team has invested more than $1.7bn (as at 30 September 2012) in 37 infrastructure debt assets since 2001.