Swedish investment giant EQT announced the closing of its flagship infrastructure fund EQT Infrastructure VI on €21.5 billion in total commitments, including €21.3 billion in fee-generating assets under management.
EQT manages €269 billion of assets.
“EQT Infrastructure VI received commitments from a diversified, global group of institutional investors, including pension funds, sovereign wealth funds, asset managers and insurance companies,” said EQT.
“The private wealth segment represented an increased share compared to the predecessor vehicle. Fund investors were based across the Americas, Asia Pacific, Europe, the Middle East and the Nordics.
“The Fund is 35 percent larger than its predecessor which closed on EUR 15.7 billion in November 2021. EQT Infrastructure VI invests in infrastructure companies that provide essential services to society, have a stable or growing underlying demand, predictable cash flows, and an asset-based, contracted and well-protected business model.
“It pursues attractive investment themes such as digital infrastructure; generating, storing, and distributing energy; decarbonization and electrification of industrial processes and transport; resource efficiency and circularity; and social infrastructure.”
Masoud Homayoun, Head of Infrastructure at EQT, said: “EQT Infrastructure VI has had a great start with 12 highly thematic investments closed or signed.
“Our sector teams are continuing to deliver on a healthy investment pipeline and we are excited by the large opportunity set underpinned by global, long-term trends such as the transition to a decarbonized and circular economy and the digitalization of society.
“Our focus remains on creating lasting value in our portfolio and delivering outstanding performance for our clients.”
Lennart Blecher, Head of Real Assets at EQT, said: “Since its inception in 2008, EQT Infrastructure has grown at pace and today, we have a 130-strong team and three investment strategies: Value-Add, Active Core and the recently launched Transition Infrastructure strategy.
“We are thrilled to announce the final close of EQT Infrastructure VI, our latest flagship fund within EQT’s EUR 75 billion1 global infrastructure business, and look forward to continuing to scale the platform.”
Suzanne Donohoe, Chief Commercial Officer at EQT, said: “We would like to thank our longstanding clients, whose commitments represented around 70% of this fundraise, for their continued confidence in the EQT Value-Add Infrastructure strategy. We are also grateful for our new partners’ trust in EQT and we aim to continue to deliver attractive returns through economic cycles.”
EQT Infrastructure VI is 45-50% committed, including closed and/or signed investments, announced public offers, if applicable, and less any expected syndication, based on the actual fund size.
The fund has closed 10 investments, including in Constellation Cold Logistics, OX2, Statera and Universidad Europea in Europe; a new partnership with EdgeConnex, Arcwood Environmental (formerly Heritage Environmental Services), Lazer Logistics and Madison Energy Infrastructure in the US; and Rena (formerly KJ Environment) and SK Shieldus in Asia Pacific.
It has also announced entering into exclusive negotiations to acquire a majority stake in Eutelsat Group’s ground station infrastructure business in Europe and a Joint Venture with T-Mobile to acquire Lumos in the US.
EQT has offices in more than 25 countries across Europe, Asia and the Americas and has more than 1,900 employees.