PARTNERS GROUP Partners Group closes its third direct infrastructure program with total commitments of USD 8.5 billion

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14/02/2022 18:00

Partners Group / Key word(s): Funds
Partners Group closes its third direct infrastructure program with total commitments of USD 8.5 billion

14.02.2022 / 18:00

Baar-Zug, Switzerland; 14 February 2022

  • The program will follow Partners Group's transformational investing strategy, with a focus on platform-expansion strategies
  • The program invests in next-generation infrastructure in high-conviction thematic areas linked to the giga themes of Digitization & Automation, New Living, and Decarbonization & Sustainability
  • The program received broad support on the back of the strong track record[1] of the predecessor fund, a string of successful realizations, and robust institutional demand for infrastructure investments with sustainable return profiles

Partners Group, a leading global private markets firm, has received total client commitments of USD 8.5 billion for its third direct infrastructure program. The program is anchored by Partners Group's third flagship direct infrastructure fund[2], which raised USD 6.4 billion, and includes an additional USD 2.1 billion committed via other managed private markets programs and bespoke client solutions that will invest alongside the fund.

Juri Jenkner, Partner, Head Private Infrastructure, says: "We are thankful for the continued trust our clients have placed in our transformational investing strategy. We believe Partners Group is in a unique position to source and build the next generation of infrastructure on our clients' behalf due to our proprietary thematic investment approach and platform expansion capabilities."

The closing follows an intense period of investment activity for the firm, with USD 5.4 billion committed in 2021 to infrastructure assets and companies that reflect the firm's thematic investment convictions. These include: EOLO, Italy's leading fixed wireless access broadband provider; GREN, one of the largest district heating platforms in the Baltics; Unity Digital, a wireless telecommunications infrastructure platform in the Philippines; Dimension Renewable Energy, a distributed energy platform focusing on community solar and battery storage in the US; Resilient, a distributed water infrastructure platform in the US and Canada; and North Star, a European operator of specialized vessels for essential offshore wind maintenance services.

The remainder of the program will be deployed globally, on behalf of investors, with a focus on infrastructure investments in high-conviction thematic areas associated with the overriding giga themes of Digitization & Automation, New Living, and Decarbonization & Sustainability. The firm's signature approach is a platform-expansion strategy targeted at businesses or assets in infrastructure sub-sectors experiencing above-average growth due to transformative trends. A portion of the program is invested in next-generation infrastructure that contributes to improved sustainability, including supporting the UN Sustainable Development Goals. As such, clean energy, water treatment and re-use, and renewable-powered data centers figure among the thematic focus areas for Partners Group. Once invested, the firm's dedicated ESG & Sustainability team works hand-in-hand with investment teams to develop ESG-focused value creation initiatives for every asset.

Esther Peiner, Managing Director, Private Infrastructure Europe, comments: "We aim to generate sustainable returns for our investors, whilst creating positive stakeholder impact. Our approach consists of thematically-driven investment combined with hands-on, platform-based value creation strategies aimed at developing next-generation infrastructure and generating returns that are protected against economic instability. With uncertainty caused by the pandemic and concerns over inflation still on the horizon, this approach has never been more relevant."

Investors in Partners Group's third direct infrastructure program are a mix of new and existing clients, including public and corporate pension plans, sovereign wealth funds, insurance companies, endowment funds, and foundations. Approximately one third of the commitments came from outside of Partners Group's European home market, reflecting broadening investor appetite for the firm's globally diversified but thematically focused infrastructure offering. Partners Group's founders, partners, and other employees, together with affiliates of the firm, also made a meaningful commitment to the program.

Vittorio Lacagnina, Managing Director, Client Solutions, comments: "The success of this fundraise reflects the solid performance of our legacy portfolio, which hinges on our transformational investment strategy and the resilience shown in the face of a protracted pandemic and rising inflation. The program benefits from a sizeable seed portfolio, reflecting strong deployment pace and potential J-curve mitigation at a time when the acceleration of behavioral and structural changes is creating a compelling opportunity set for institutional investors."

Partners Group's previous flagship direct infrastructure fund currently reports a net IRR of 15.5% and a net TVPI of 1.51x[3].

[1] Source Preqin, as of 30 June 2021

[2] Partners Group's third direct infrastructure fund is closed. Past performance is not indicative of future returns

[3] The fund closed in 2018; performance as of 30 September 2021. Past performance is not indicative of future results. There is no assurance that similar results will be achieved. For illustrative purposes only

About Partners Group
Partners Group is a leading global private markets firm. Since 1996, the firm has invested over USD 170 billion in private equity, private real estate, private debt and private infrastructure on behalf of its clients globally. Partners Group seeks to generate strong returns through capitalizing on thematic growth trends and transforming attractive businesses and assets into market leaders. The firm is a committed, responsible investor and aims to create sustainable returns with lasting, positive impact for all its stakeholders. With over USD 127 billion in assets under management as of 31 December 2021, Partners Group provides an innovative range of bespoke client solutions to institutional investors, sovereign wealth funds, family offices and private individuals globally. The firm employs more than 1,500 diverse professionals across 20 offices worldwide and has regional headquarters in Baar-Zug, Switzerland; Denver, USA; and Singapore. It has been listed on the SIX Swiss Exchange since 2006 (symbol: PGHN). For more information, please visit www.partnersgroup.com or follow us on LinkedIn or Twitter.

Shareholder relations contact
Philip Sauer
Phone: +41 41 784 66 60
Email: philip.sauer@partnersgroup.com

Media relations contact
Jenny Blinch
Phone: +44 207 575 2571
Email: jenny.blinch@partnersgroup.com

End of Media Release

Language: English
Company: Partners Group
Zugerstrasse 57
6341 Baar
Phone: +41 41 784 60 00
Fax: + 41 41 784 60 01
E-mail: partnersgroup@partnersgroup.com
Internet: https://www.partnersgroup.com/en/
ISIN: CH0024608827
Valor: 2460882
Listed: SIX Swiss Exchange
EQS News ID: 1280427

End of News EQS News Service

1280427  14.02.2022