Australia’s QIC in $735m first close on global infrastructure fund

This follows an announcement from QIC in February that it had secured initial commitments of $528 million for the vehicle from four investors, including an Asian sovereign wealth fund and a major Australian pension scheme. The LP roster now also features superannuation fund HOSTPLUS and a leading Chinese insurer, according to a statement. A further commitment has been made under a co-investment arrangement.

The QIC Global Infrastructure Fund will offer access to assets in OECD member economies, with a focus towards Australia. The fund is an extension of the infrastructure strategy that has been available to separately managed account clients since 2006.

QIC has more than A$73.8 billion in funds under management globally. Its infrastructure portfolio comprises 10 direct investments worth A$5.9 billion, spanning transport, utilities and public-private partnership assets. It has realized A$6.6 billion in proceeds for clients, including the exit of the Queensland Motorways portfolio last year to a group of investors.

A raft of brownfield assets expected to be privatized in Australia, ranging from electricity distribution and transmission businesses in New South Wales to ports in Queensland. There is likely to be considerable interest from foreign and domestic investors, and concerns have already been raised about inflated valuations.

Earlier this year, QIC teamed up with Canada Pension Plan Investment Board (CPPIB) and toll road operator Transurban Group to support Sydney's A$2.9 billion NorthConnex tunnel project. The investors are packaging the existing Westlink M7 toll road - which they already own - in with the still-to-be-built NorthConnex.

QIC has also announced an Asia-Pacific focused infrastructure partnership worth A$1 billion with the California Public Employees' Retirement System (CalPERS).

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• Topics
• Fundraising
• Infrastructure
• Infrastructure
• Australasia
• Infrastructure
• Fundraising
• Australia
• QIC