Aberdeen to make first incursion into Latin America 

04 March 2019 - 12:00 am UTC

UK-based investor Standard Life Aberdeen (SLA) is preparing to bid for Latin American social infrastructure projects through a new USD 250m fund vehicle, Inframation understands. 

A source with knowledge of SEC-registered vehicle Andean Social Infrastructure Fund told Inframation that the fund is targeting social infrastructure investments in Chile, Colombia, Mexico, Peru and Uruguay. 

The source said that the BOSA hospital, the first hospital PPP in Bogotá, is one project of interest to the fund, although the municipal government was originally planning up to tender up to five projects as PPPs.

To administer the fund, Aberdeen formed a partnership with Colombia-based fund manager LQA Funds, a joint venture between Colombian investment bank Q&A and Swiss financial investment boutique Lakestone Capital Partners. Q&A has acted as financial advisor to local and national government agencies on infrastructure project structuring and tenders including seven of the country’s 4G highway PPPs.  

The fund registered a USD 98m first close for the vehicle with the SEC on 25 September 2017.

The filing states that the fund is targeting USD 250m, but has a hard cap of USD 300m. 

A November 2018 presentation by Standard Life Aberdeen said that the fund has raised USD 242m in commitments and expects to reach a final close above target in 1H19. 

The fund’s September 2017 filing lists Global Head of Infrastructure Funds Gershon Cohen and fund manager Ivan Wong as related persons. 

In a June 2018 interview with a newswire, Wong said that the fund will seek to deploy its capital across 10-12 projects in three to four years and that SLA would look to launch new funds two to three years after the first fund’s debut to create a presence in Latin America.

According to Inframation Deals, SLA manages 18 infrastructure funds with investments across Australia, Europe and North America. Approximately 72% of the manager’s investments have been in the social infrastructure sector, including defense, education, healthcare, leisure and public buildings projects. 

 

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