AMP Capital has announced a capital raising programme aimed at new and existing Australian and New Zealand institutional investors, which is expected to bring in $300 million for its recently renamed long-standing AMP Capital Diversified Infrastructure Trust (ADIT), which previously traded as Infrastructure Equity Fund.
Additionally, the fund manager also restructured ADIT as a stapled trust, which was expected to facilitate the new assets acquisition.
The Infrastructure Equity Fund was launched in 1995 and was, according to AMP Capital, one of the longest-running infrastructure funds globally, with a diversified portfolio of infrastructure assets across Australia and New Zealand.
AMP Capital Head of Australia and New Zealand Infrastructure Equity Funds, Michael Cummings, said that he expected a strong deal flow in Australia for the remainder of 2016, with the mid-market sector offering the best relative value for investors.
“More opportunities mean an increased level of transaction activity within the fund, which will be enhanced by the new stapled structure that enables ADIT to acquire controlling stakes of target assets,” he said.
“With this in mind, we have launched a capital raising of up to A$300 million in anticipation of the stronger deal flow for the next six to 12 months and would like to increase ADIT’s exposure to sectors such as transport, ports and student housing in particular.”
