EQT today announces that its third fund for infrastructure investments, EQT Infrastructure III (the “Fund”), has been closed at the hard cap of EUR 4.0 billion on February 21, 2017. The Fund was raised in less than six months which is the fastest fund raise in EQT’s history to date. The Fund will follow EQT's overall infrastructure investment strategy – applying an industrial approach to infrastructure investing – and continue to make investments in sectors such as energy, transport and logistics, environmental, telecom and social infrastructure mainly in Europe and North America.
Interest from both existing and new investors was strong and the Fund was heavily oversubscribed. Despite the demand, EQT remained committed to raising an appropriately sized fund. The Fund will be deployed in line with the objectives of delivering value to investors by investing in high-quality companies and develop them into strong and sustainable businesses.
“We believe that there is continued demand for infrastructure investments that will bring attractive market opportunities. EQT can add true value in areas where there is a heavy need for both private investments and innovation. The team has a great track record of delivering creative ideas and solutions as advisors to EQT’s previous infrastructure investments. We are poised to start investigating new and exciting opportunities”, says Lennart Blecher, Deputy Managing Partner and Head of Real Assets at EQT Partners, Investment Advisor to the Fund.
Thomas von Koch, Managing Partner of EQT Partners, says: “We are truly humbled by the interest investors have shown for EQT’s third infrastructure fund. I strongly believe that EQT’s passion for developing companies will continue to create sustainable values for both investors, companies and also society as a whole.”
The capital raising effort was led by EQT’s Investor Relations team. Jussi Saarinen, Partner and Head of Investor Relations at EQT Partners says: "This marks yet another important milestone in the long-term strategy of EQT. It fortifies EQT’s position as a leading global alternative investments firm. Around two-thirds of the commitments were made by investors in prior EQT funds, confirming the strength of being an integrated alternative investments firm. The Investor Relations team is fully dedicated to give EQT’s investors, across the platform, the best possible service and we are convinced that having such capacities internally will be a future success factor.”
The Fund has already signed four acquisitions: GlobalConnect A/S, the leading alternative provider of B2B data communication services in Denmark; a strategic partnership with the German energy service solutions provider GETEC ENERGIE HOLDING GmbH under a newly formed joint venture company; Delta Comfort, the leading telecom infrastructure company and supplier of energy in the Dutch province of Zeeland; and Lumos Networks, a leading fiber based data and broadband service provider in the U.S. Mid-Atlantic region.
EQT Infrastructure III is backed by a global blue chip investor base including, among others, AP4, Ardian, BlackRock, The Dai-ichi Life Insurance Company, Danica Pension, Fubon Life Insurance Company, Funds SA, Golding Capital Partners, Ilmarinen, KEVA, LGIAsuper, Local Government Super, Maine Public Employees Retirement System, Nan Shan Life Insurance Company, The New York City Retirement Systems, Oregon Investment Council, Pantheon, Sampension, Skandia, Sumitomo Mitsui Trust Bank, Teacher Retirement System of Texas, Varma, VER and Virginia Retirement System.
The fundraising for EQT Infrastructure III has now closed. Accordingly, the foregoing should in no way be treated as any form of offer or solicitation to subscribe for or make any commitments for or in respect of any securities or other interests or to engage in any other transaction.
Lennart Blecher, Deputy Managing Partner and Head of Real Assets at EQT Partners, Investment Advisor to EQT Infrastructure III, +46 8 506 55 475
EQT Press Office, +46 8 506 55 334
EQT is a leading alternative investments firm with approximately EUR 35 billion in raised capital across 22 funds. EQT funds have portfolio companies in Europe, Asia and the US with total sales of more than EUR 15 billion and approximately 100,000 employees. EQT works with portfolio companies to achieve sustainable growth, operational excellence and market leadership.
More info: www.eqtpartners.com
About EQT Infrastructure III
EQT Infrastructure III seeks to invest in infrastructure companies with a significant opportunity for value creation through accelerating growth and implementing operational improvements. EQT evaluates infrastructure businesses by focusing on control and co-control investments that present certain characteristics, including providing an essential service to society, recession resilience, secure cash flows and offers inflation protection.