About 750 investors have stumped up with $41 million in the retail part of a capital raising to invest in public-private partnerships to build schools and hospitals and other social infrastructure.The promoters said it is the largest successful equity rai
About 750 investors have stumped up with $41 million in the retail part of a capital raising to invest in public-private partnerships to build schools and hospitals and other social infrastructure.
The promoters said it is the largest successful equity raising in New Zealand this year available to the public.
The money was raised by an initial public offer for New Zealand Social Infrastructure Fund Ltd (NZSIF), which closed on Friday. It was organised by Morrison&Co PIP Ltd and Craigs Investment Partners Ltd.
NZSIF will invest as a limited partner in the Public Infrastructure Partners Ltd Partnership (PIP Fund), an institutional fund established to invest in public-private partnerships that deliver social infrastructure assets. It is not investing in prisons.
Morrison&Co is currently in discussions with several large investors and expects these to lift the total capital committed to the PIP Fund to date to approximately $160m.
"We are delighted to have such a broad group of investors participating in the PIP Fund via NZSIF," said Peter Coman, managing director of Morrison&Co PIP Fund.
"With the combination of retail and institutional commitments approaching $160m, we are well on the way to our overall target of raising over $200m for the PIP Fund."
The final close of the institutional fund is in October.
Investors in NZSIF included private investors, community groups, charitable trusts, Maori trust organisations and Craigs Investment Partners itself.
"The level of support from investors for NZSIF was pleasing, particularly with markets going through an unsettled period in recent weeks," said Neil Craig, executive chairman of Craigs Investment Partners
"It required investors to take a long term view and social infrastructure as an asset class is very well suited to that. It should also be noted that this is the first, and possibly only opportunity New Zealand retail investors have to invest in this new asset class," he said.
