US$3b secured for new infrastructure fund
H.R.L. Morrison and Co has announced the first close for a new open-ended global infrastructure fund, the Morrison & Co Infrastructure Partnership (MCO IP), securing more than US$3 billion ($4.15 billion) in fund commitments from anchor investors.
Gordon Hay, head of core infrastructure funds at Morrison and Co, said MCO IP would provide investors with exposure to long-term, lower-volatility opportunities that are positively exposed to the following themes: energy transition and decarbonisation, climate change and digitisation of the global economy.
“We are seeing a continued evolution in the infrastructure market globally, and as an asset class it continues to offer great benefits to investors,” he said.
"That is particularly the case in the energy transition and digitisation themes, where Morrison and Co has a rare level of expertise, having been an early investor in these sectors with great success. This means we have a strong pipeline of opportunities for MCO IP across our target geographies."
MCO IP had a global investment mandate, principally targeting assets in North America, the United Kingdom, Europe, Australia and New Zealand, with a focus on the energy sector, other utilities, and data infrastructure and an objective to provide investors with an 8% to 10% per annum gross USD return.
Additionally, the fund would take a responsible investment approach, aiming to be carbon neutral by 2050.
Nicole Walker, chief commercial officer at Morrison and Co, said: “We believe that by integrating environmental, social and governance considerations at all stages of the investment cycle, there is an associated positive impact on investment performance for our clients.
“Accordingly, we develop responsible investment programs for each of our investment products, with ambitious targets, aiming to be a leading responsible investor."
According to Paul Newfield, Morrison and Co's incoming chief executive, the successful launch of MCO IP would help accelerate the firm's global expansion.
"Securing over US$3 billion in fund commitments and co-investment capital is a terrific show of support for our global investment capability. We are also attracting high calibre talent as we expand our presence in North America, Europe, Australia, Asia and New Zealand,” Newfield said.
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