JPMorgan Global Core Real Assets (JARA) has announced two capital calls that, inclusive of the capital it has raised post-IPO, takes it to approximately 74% invested. For the two new calls, $75,694,563 of the Company’s committed capital has been called, with a funding date no later than 1st October 2020. This capital is being called by two of the higher-yielding underlying strategies; the Global Core Infrastructure and Global Transport Income strategies. Collectively, the Manager estimates that, at current yields and exchange rates, these additional strategies will generate 0.58 pence per share of revenue each quarter.
99.5% of initial IPO proceeds deployed
JARA says that, along with existing investments into the Global Liquid Real Asset and Private U.S. Real Estate strategies, these two latest calls mean that a total of $181,163,783 will shortly have been deployed. This equates to 99.5% of initial IPO proceeds and fulfills the aim stated in the Prospectus, where the Manager believed there was capacity to ‘allow the Net Initial Proceeds to be called and invested within 12 months following Initial Admission.’ The Board and Manager are pleased that this has been achieved, despite the disruption COVID-19 has caused in global markets. JARA says that these two new capital calls increase its investment level significantly, adding diversification across sectors, geographies and asset type, as well as materially bolstering the portfolio revenue.
Still awaiting its initial capital into the Private Asia-Pacific Real Estate strategy
JARA says that it is still awaiting its initial capital call into its final strategy, the Private Asia-Pacific Real Estate strategy, but it expects this to occur during the fourth quarter of 2020. Jara says that this next investment will result in it having materially deployed all capital raised since its IPO.
Potential for further equity raises
JARA’s manager says that it continues to see attractive opportunities in real assets across the JPMorgan Asset Management Alternatives Platform, and the Company will seek to raise further equity as client demand and market opportunities present themselves.