Combined group enhances one of Australia’s leading independent renewable generation and infrastructure investors and provides for enhanced product and distribution capabilities

 

Infrastructure Capital Group (ICG), one of Australia’s leading infrastructure managers, with A$3.2 billion of funds under management, today announced it has entered into an agreement for the sale of its business to Foresight Group Holdings Limited (“Foresight”).

ICG is currently owned by Log Creek, an entity controlled by Mike Fitzpatrick (63.3%), and management and former management shareholders (36.7%).

Foresight is a leading, sustainability-led infrastructure and private equity investment manager, listed on the Main Market of the London Stock Exchange. With c.£9.4 billion of current Assets Under Management, Foresight operates from 12 offices across seven countries in Europe and Australia.

 

Acquisition rationale

Combining ICG’s strong Australian presence with Foresight’s strengths, as an international sustainability-led alternative asset manager, provides significant growth potential for both organisations.

Following the sale to Foresight, the combined group will have AUM of £11.6 billion and will be one of the leading independent renewable generation and infrastructure investors in Australia, benefitting from a stronger business profile and broader investor reach.

The transaction will enhance ICG’s and Foresight’s investment, product development and distribution capabilities and facilitate the introduction of new products in both new sectors and new geographies, providing clients access to a wider suite of products and services.

The strong business complementarity and cultural alignment between ICG and Foresight is expected to facilitate a seamless integration process, providing continuity of existing client services and relationship dynamics and enabling an immediate focus on growth opportunities.

 

Business as usual

ICG’s long-standing management team will remain in place and continue to manage the funds and investments on behalf of ICG’s institutional investor clients. Existing funds will maintain current investment mandates with each maintaining a strong pipeline for continued future investment.

 

Commenting on the transaction, Tom Laidlaw, Chief Executive Officer of ICG, said:

“We are delighted to be joining Foresight. The bringing together of two respected and highly regarded infrastructure managers will be beneficial to all our stakeholders. We will continue to manage the business as usual with the added benefit of having access to Foresight’s expertise, global footprint and product offerings.”

 

Mike Fitzpatrick, majority shareholder of ICG, commented:

“This is an incredibly positive transaction for our investors, our employees and other stakeholders. Both firms have a long and deep commitment to renewables, which will continue to be a focus. We look forward to working closely with Foresight as we continue to enhance and develop our asset portfolio and returns for our investors.”

Log Creek was advised by Berkshire Global Advisors, Legal advisor Piper Alderman and Accounting Firm EY.

 

About Foresight Group (“Foresight”):

  1. Foresight Group Holdings Limited is a leading listed infrastructure and private equity investment manager, listed on the Main Market of the London Stock Exchange
  2. With a long-established focus on ESG and sustainability-led strategies, it aims to provide attractive returns to its institutional and private investors
  3. Foresight manages over 330 infrastructure assets with a focus on solar and onshore wind assets, bioenergy and waste, as well as renewable energy enabling projects, energy efficiency management solutions, social and core infrastructure projects and sustainable forestry assets.
  4. Foresight operates from 12 offices across six countries in Europe and Australia with AUM of c.£9.4 billion as at 30 June 2022
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