Intermediate Capital Group (ICG) is due to launch an Asia-Pacific-focused infrastructure fund later this year, its first move outside Europe.
The London-headquartered manager will look to raise up to USD 1bn for its ICG Infrastructure APAC I fund, sources said.
According to the sources, the manager will look to make two to three investments in the region using balance sheet capital, with the assets then forming a seed portfolio to be rolled into the fund.
The fund will likely not be formally launched until late in the year as the manager builds out this seed portfolio.
ICG employed a similar strategy with its inaugural infrastructure fund, the Europe-focused ICG Infrastructure Equity Fund I which acquired two assets using balance sheet capital before transferring these into the fund.
The APAC fund will follow a similar strategy to the manager’s European funds, targeting core-plus mid-market investments, with a focus on scaling platforms.
The fund will primarily target the advanced economies in Asia, with an ability to make investments in emerging market economies on a selective basis.
London Stock Exchange-listed ICG has been building out its APAC infrastructure team over the last several months in anticipation of a move into the region.
The strategy is headed by Devarshi Das, who was hired last year from Keppel Capital Alternative Assets where he was CEO and managed an Asia-Pacific infrastructure equity fund.
The launch of its first Asia-Pacific fund comes as the manager prepares the launch of its second European fund, ICG Infrastructure Fund II.
The new European fund will target up to EUR 2bn and follow a similar strategy to the manager’s first fund but will look to build a larger overall portfolio.
ICG declined to comment.
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