Register Log-in Investor Type

News

AT85 – here we go! prospectus out today

221121 AT85 ITF

AT85 Global Mid-Market Infrastructure Income, which published an intention to float announcement on 21 November 2022 but then postponed the publication of its prospectus given the turmoil in markets, is now ready to push the button on its IPO. It is looking for £300m to invest in a portfolio of midmarket core-plus essential infrastructure or infrastructure-related assets or businesses with a strategic competitive advantage, strong operating record and/or a steady and predictable cashflow.

The portfolio of investments will primarily be located in United States, Canada, UK and Europe providing global diversification across jurisdictions that the Investment Manager considers to have stable macro-economic environments, predictable regulation, a strong rule of law and enforceable contract and property rights.

The company’s investment strategy focuses on three key infrastructure sectors: transport and logistics infrastructure, utility-related infrastructure and digital infrastructure that benefit from core investment themes of digitalisation, efficient movement of goods and the provision of essential services.

The company will invest in assets and businesses with defensive cashflows that are largely uncorrelated across investment themes and structured for exit visibility. The Investment Manager mitigates the risk of adverse regulatory and government policy through investment in ‘adjacent’ sectors that capture many of the benefits of such regulated businesses while limiting the regulation and policy risks.

ESG is an integral part of the investment process with each investment being subject to an ESG assessment as part of the underwriting process with potential for ESG improvements identified prior to investment. The company has adopted the investment manager’s ESG policies and exclusion policies and will not invest in oil and gas assets.

The company’s portfolio of equity investments is typically expected to be under direct control of the investment manager – not minority or passive holdings. The investment manager intends to have active involvement on portfolio company boards and control of operational levers.

The investment manager utilises multiple tools to offset inflation including pricing, technology and operational initiatives. Historically, a substantial component of midmarket revenue streams has been protected against inflation.

The company has access to initial assets of £92.1m and a total pipeline of £541.1m.

The investment manager has a strong long-term track record having invested US$13bn since 2005 / over US$3bn since 2014 and having generated a cash yield of 8.2% and an IRR of 19.7% (gross) (17.8% net) from mid-market investments.

A prospectus has been published today and you can access this here.

As always, access to the IPO is limited by geography – and, in particular, you should not even be reading this if you are based in the USA.

Make sure that you read the risk warnings in the prospectus before making any investment decision.

The placing is expected to close at 2:00pm on 23 February 2023, The offer for subscription and intermediaries offer are expected to close at 11:00am on 22 February 2023.

Leave a Reply

Your email address will not be published. Required fields are marked *

Please review our cookie, privacy & data protection and terms and conditions policies and, if you accept, please select your place of residence and whether you are a private or professional investor.

You live in…

You are a…