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Important - persons using the names AMP Capital Limited and AMP Capital Investors Limited Company are purporting to be a part of the AMP Capital or AMP group and are making unsolicited contact with members of the general public in Europe and the UK. AMP Capital Limited and AMP Capital Investors Limited Company are not part of the AMP Capital or AMP groups.

AMP Capital has been made aware that persons using the names AMP Capital Limited and AMP Capital Investors Limited Company are purporting to be a part of the AMP Capital or AMP group and are making unsolicited contact with members of the general public in Europe and the UK. AMP Capital Limited and AMP Capital Investors Limited Company are not part of the AMP Capital or AMP groups. Please ensure that you carefully establish the identity of any person or entity purporting to act for AMP Capital or AMP. 

 

Contact us: internationalclientservices@ampcapital.com

Infrastructure Debt Fund III

Infrastructure debt, the opportunity

 

Growing demand
From renewable energy plants to airports, demand for capital to fund essential infrastructure continues to grow across the developed world, yet fiscally constrained governments are increasingly unable to meet that demand. This creates the opportunity for informed investors to benefit from an under-appreciated asset class: infrastructure debt.

 

Added security
An asset class that is underpinned by defensive assets capable of generating consistent cash flows across market cycles, often in a highly regulated environment. Debt holders rank ahead of equity holders in the capital structure, creating an extra degree of security.

 

Strong deal flow
Currently in the global infrastructure debt market, there are strong deal flow opportunities with limited competition from alternative junior lenders. These factors provide the potential to generate attractive risk adjusted returns focused on cash yield and represent a compelling opportunity for infrastructure debt investors.

 

AMP Capital, infrastructure debt

 

Specialist expertise from an industry leader
AMP Capital has long been recognised as a pioneer in infrastructure investment. With over 28 years of infrastructure experience, dedicated expertise and on behalf of its managed funds and clients more than 130 separate unlisted equity and debt investments since 1988.

 

Experienced investment team which has generated consistent returns through economic cycles
Our investment team is one of the world’s most experienced subordinated debt arrangers, underwriters and investors. Based in London, Sydney and New York, the team has more than 142 years of combined experience arranging, investing and monitoring infrastructure debt investments across a range of sectors and geographies.

 

A successful track record in infrastructure debt investing
Our infrastructure debt team has a track record of investing in debt of infrastructure businesses dating back to 2001. In its history, the investment team has invested over US$3.0 billion in 56 infrastructure debt assets1.

 

AMP Capital Infrastructure Debt Fund III

 

Highly attractive investment proposition
Targeting a gross IRR of 10% with a focus on cash yield, AMP Capital Infrastructure Debt Fund III focuses on providing subordinated debt investment capital to infrastructure businesses in OECD and other developed countries.

  • Tailored debt solutions underpinned by high quality assets
    Tailored debt solutions underpinned by high quality assets

    Our long-standing relationships with the sponsors of major infrastructure projects allow us to access a strong pipeline of exclusive investment opportunities. Sponsors rely on us to create mezzanine finance solutions tailored to their specific needs.

     

    This pivotal role enables us to negotiate deals on favourable terms, secured by high quality assets. Combined with our rigorous due diligence process, it allows us to design a portfolio featuring low volatility, superior risk-adjusted returns and reliable long-term yields.

  • High yielding subordinated debt investments over defensive assets offering:
    High yielding subordinated debt investments over defensive assets offering:

    Monopolistic-style businesses, with high barriers to entry.

     

    Balanced and consistent cash flows across market cycles.

     

    Regulated or contracted operating environments, with political stability and mature legal, tax and accounting frameworks.

Case studies

Lightsource Renewable Energy

Industry: Solar Energy
Deal status: Unrealised
AMP Capital role: Sole Lead Arranger
Debt tranche: Subordinated
Geography: United Kingdom


Business Description
Dominant position: The leading developer, manager and operator of utility scale solar in the UK
Quality assets: IDF II invested in two portfolios with a total of 47 solar photovoltaic asset
Strong cashflows: Feed-in-tariffs providing up to 25 years of Retail Price Index-linked revenues

Invenergy Thermal

Industry: Power generation
Deal status: Unrealised
AMP Capital role: Sole Lead Arranger
Debt tranche: Subordinated
Geography: Canada and United States


Business Description
Dominant position: An industry leader in renewable power generation
Quality assets: Operates six gas-fired generating assets with a total capacity of 3.2 GW gross
Strong cashflows: Predictable revenues with assets backed by long term PPAs with investment grade off-takers

Carlsbad Desalination Plant

Industry: Water treatment
Deal status: Unrealised
AMP Capital role: Sole Lead Arranger
Debt tranche: Subordinated
Geography: United States

Business Description
Prominant position: Capacity to produce approximately 7% of total freshwater for the City of San Diego
Quality asset: A fully operational Sea Water Reverse Osmosis desalination plant with 54 million gallon capacity per day
Strong cashflows: Long-term 30 year off-take with highly-rated municipal off-taker

What are the key risks?
Prospective investors should refer to the Private Placement Memorandum and consider factors relating to investment risks. As a result of risk factors, as well as other risks inherent in any investment, an investment in the fund is not appropriate for all investors. There can be no assurance that the fund will meet its investment objective or that investors will receive a return of their capital. Prospective investors should consult with their own advisors before deciding to invest in the fund.

1As at 31 August 2016.

Important notes

AMP Capital Investors (UK) Limited is authorised and regulated by the UK Financial Conduct Authority. Registered Office at Companies House, 4th Floor Berkeley Square House, Berkeley Square, London W1J 6BX (no. 05524536). While every care has been taken in the preparation of this information contained in this website, neither AMP Capital Investors (UK) Limited nor any member of the AMP Capital and AMP Groups make any representation or warranty as to the accuracy or completeness of any statement in it including without limitation, any forecasts. This content has been prepared for the purpose of providing general information only, without taking account of any particular investor’s objectives, financial situation or needs. Investors should, before making any investment decisions, consider the appropriateness of the information on this website, and seek professional advice, having regard to their objectives, financial situation and needs. All information on this website is subject to change without notice.

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