Australian infrastructure and real estate investor AMP Capital has secured US$200 million from Ontario Pension Board. The commitment, which comes with additional co-investment rights, will support AMP’s global infrastructure strategy, which is focused on acquiring assets in transport, communication and utilities sectors in OECD countries. The global strategy has a target size of US$2 billion. Based in Toronto, Ontario Pension Board manages around $21 billion in assets on behalf of the province’s Public Service Pension Plan.
AMP Capital receives global infrastructure commitment from Ontario Pension Board
17 December 2014
AMP Capital has received a US$200 million commitment, with additional co-investment rights, from Canadian pension plan Ontario Pension Board (OPB) to invest in its global infrastructure strategy.
The global infrastructure strategy was launched in October 2014.
AMP Capital Global Head of Infrastructure Equity Boe Pahari said: “I’m delighted Ontario Pension Board has chosen to invest in AMP Capital’s global infrastructure strategy. A commitment of this size from such a well-known and established institutional investor is further endorsement of the strength of our strategy.
“Growing numbers of institutional investors are seeking greater exposure to alternative assets such as infrastructure, attracted to its predictable risk-adjusted returns, consistent yields and portfolio diversification. AMP Capital’s global infrastructure strategy is a great way to gain access to an asset class that is benefiting from unprecedented demand across the globe for infrastructure investment.”
Investors in the global infrastructure strategy have immediate access to an existing portfolio of diversified European infrastructure equity assets worth US$750 million. The strategy has a target size of US$2 billion, with new inflows used to acquire additional assets in OECD countries in sectors such as transport, communication and utilities.
Glenn Hubert, one of OPB’s Private Markets’ Managing Directors, said: “We were impressed by AMP Capital’s long and successful history in infrastructure investment as well as the ability to gain exposure to multiple, high-quality assets through the global infrastructure business. We’re pleased to partner with AMP Capital through this commitment, particularly as it grows its presence in North America.”
AMP Capital has been building its presence in North America and has a growing infrastructure equity investment team based in New York.
AMP Capital Head of Americas, Infrastructure Equity Dylan Foo said: “There are an increasing number of investment opportunities in North America, making it an important region for AMP Capital as we grow our business. We continue to focus on mid-market opportunities where we see relative value versus larger transactions. We look forward to expanding the global infrastructure strategy by attracting additional commitments from North American investors as well as acquiring high-quality assets in the region for our clients and the strategy.”
Source: AMP Capital Investors
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