CAPE TOWN - Cornerstone investors: A.P Moller Holding jointly with PensionDanmark and Lægernes Pension will be funding Africa with a new infrastructure fund worth $550m to support sustainable economic growth in the region.
South Africa is one of the beneficiary countries, and is said to significantly benefit from the funding in the medium to long term.
It is understood that the fund will be managed by A.P Moller Capital, an affiliate of A.P Moller Holding. A.P Moller capital is reportedly having a reputable network in Africa when it comes to industrial and investment experience.
Managing Partner and CEO of A.P. Moller Capital, Kim Fejfer, said "We are very pleased with the significant support from the Danish pension funds and A.P. Moller Holding. Together, we will build and operate infrastructure business in Africa to support sustainable development and improvements in living standards across the continent. We will combine the best from industry in terms of project management and operational capabilities with the best from private equity in terms of agility and focus".
“PKA has for many years invested in infrastructure both in Denmark and abroad. We have positive experiences investing in Africa and we have for a long time wanted to invest more on the continent. With this new fund we will be making infrastructure investments in Africa and get the opportunity to provide a good return to the pension savers and at the same time make a positive difference in line with the UN Sustainable Development Goals,” said CEO for PKA, Damgaard Jensen.
Following first commitments, the fund will be open for additional institutional investors for the next 12 months. The ambition is to raise $1bn in commitments.