Former OTPP Infrastructure head Andrew Claerhout is looking to raise a USD 1bn mid-market infrastructure fund, focussing on North American core plus and value add opportunities, Inframation has learned.
The 12-year close ended fund will average USD 75m to USD 125m per investment and concentrate largely on brownfield investments with the opportunity for growth and operational improvement. Key sub-sectors will include midstream, the evolving energy landscape, and industrials and logistics.
There is space for new mid-market funds, as several infrastructure managers that historically focussed on the smaller end of the market, such as EQT, I-Squared, KKR and Stonepeak, have recently closed or are in the process of raising much larger funds, in the USD 5bn-USD 9bn range, which will likely target larger transactions. The North American fund space has seen several new entrants in 2018 alone. They include; Orion Energy Partners, Ember, Nova Infra and Upper Bay.
Claerhout served as senior managing director of the infrastructure and natural resource group for the CAD 180bn OTPP from 2013 to 2018.