Infrastructure was the catalyst for the past week’s fund-raising effort as buyout and mezzanine firms have broken through the $100 billion mark in year-to-date fund-raising.
Leading the way were Credit Suisse Group and General Electric Co., which closed Global Infrastructure Partners at $5.6 billion. The joint venture was formed to invest in the rapidly evolving and under-funded market for infrastructure assets, according to Credit Suisse’s website. The fund will pursue opportunities worldwide in the energy and transportation sectors.
Morgan Stanley was also active last week. It collected $4 billion for Morgan Stanley Infrastructure Fund, which exceeded the initial target of $2.5 billion. The firm said its success in raising capital was because of demand for infrastructure investment and for alternative assets that generate stable cash flows over the long term. The fund will target investments in assets that provide public goods or essential services in sectors such as transportation, energy and utilities, social infrastructure and communications.
In addition, Lime Rock Partners worked quickly to close its fifth fund with $1.4 billion in commitments. The West Port, Conn.-based firm started to raise the fund in February. Lime Rock Partners V, which will invest in the energy industry, has 78 institutional investors.
On the deals side, The Carlyle Group had the largest deal of the past week. Its Green Bidco Commercial & Industrial SA business acquired 73.5% of Neochimiki Lavrentiadis SA from main shareholder and individual investor Lavretis Lauvrentiadis for $774.8 million.
The transactions with disclosed transaction values during the past week collected nearly $875 million altogether, according to PE Week publisher Thomson Reuters. Year-to-date deal volume inched up to about $51.2 billion. —Eamon Beltran