Barings has expanded its $14 billion-plus global infrastructure platform with its first infrastructure debt fund that closed at $630 million.
The Target Yield Infrastructure Debt Fund and associated vehicles are focused on investing in OECD countries primarily in North America and Europe. The fund is in line with Barings’ existing infrastructure strategies and will invest in below investment grade debt assets across social and regulated infrastructure, renewables, transportation and digital infrastructure.
The $349 billion global investment firm has been investing in infrastructure debt for over 30 years, but only in the last nine years has the team had a standalone group focusing on the asset class.
“Barings Global Infrastructure aims to offer investor exposure to a diversified, uncorrelated global strategy with appropriate risk and return,” said Pieter Welman, managing director and head of Barings Global Infrastructure, which has invested over $18 billion across more than 300 transactions.
In the last 18 months, the group has deployed $3.4 billion.
“We have been making investments in infrastructure debt on behalf of our parent company for years,” said Mark Ackerman, managing director and co-portfolio manager for Barings Target Yield Infrastructure Debt Fund. “We view this inaugural fund as a natural evolution of our historical infrastructure debt strategy, focused on the same sectors and types of credits.”
Barings continues to find investment opportunities in below investment grade infrastructure debt as a compelling addition to investors’ asset allocation strategies, added Barings Managing Director Orhan Sarayli.
