International infrastructure asset manager InfraRed Capital Partners (InfraRed) has held the final closing of InfraRed Infrastructure Fund VI with over $1bn in commitments, including co-investment vehicles and separately managed accounts (SMAs).
This is InfraRed’s sixth flagship value-add infrastructure fund, which attracted institutional investors from North America, UK, Europe, and Asia.
The fund builds on InfraRed’s differentiated value-add strategy and 25-year track-record. Its aim is to generate value by creating or organically growing and de-risking essential mid-market infrastructure companies and projects.
Fund VI is targeting the North American and Western European regions in three sectors: energy transition, digital, and transport.
InfraRed’s Investment team has sourced a strong pipeline of opportunities that require growth capital, drawing on their deep resource and experience to take a view on relative value and entry points. As a result, more than 80% of the raised capital has been allocated across seven investments to date, diversified across sectors and geographies.
The fund’s investments include: Voltan Energy – a company headquartered in Finland that specialises in the installation and operation of ground-source heat pumps in multi-dwelling units and other large buildings; Public Safety Towers Company – a business focused on the development of wireless communications towers for US mobile carriers, leveraging a unique public safety angle; and Hullo – a Canadian business that provides essential transport infrastructure to address an underserved route between Vancouver and Vancouver Island.
The investments are at varying degrees of maturity, with most generating revenues and having seen valuation uplifts. InfraRed’s team is working closely with the fund’s respective management teams to build and de-risk these investments into cash generating hard assets and platforms capable of organic growth to drive further value uplift.
