BlackRock nears close on Colombian infrastructure fund
BlackRock, the world's largest money manager, will likely reach its fundraising target by the close of Q1 as two other funds also work to raise money for infrastructure investments in Colombia
BlackRock is expected to finish raising COP1tn
($337m) for an infrastructure debt fund in Colombia by the end
of Q1 this year, LatinFinance has heard.
At least two funds are raising money for
infrastructure investments in Colombia, but BlackRock is the
nearest to closing, sources said. BlackRock declined to
SMBC and BTG Pactual are building a 25-year
fund, while the IFC is creating a $500m local bond
program to finance infrastructure projects in Colombia.
SMBC and BTG Pactual are taking longer than
expected to raise between $300m and $400m for the fund, due to
the effects of the Odebrecht bribery scandal in the
infrastructure market in Colombia, sources said.
fund could provide financing to the Antioquia-Bolivar toll
PPP, while the SMBC-BTG Pactual fund could help pay for
construction of the Autopista al Mar 2
concession, among other toll roads in Colombia's 4G
Three infrastructure debt funds already exist in
Colombia – a 25-year, COP2bn
fund from regional development bank CAF and emerging
markets investor Ashmore Group, a 23-year, COP1.26bn
fund from Sura Asset Management and Credicorp Capital and a
25-year, COP1bn from Exponencial.
CAF-Ashmore I led the financing for the
Transversal del Sisga concession in July last year, when it
contributed COP240bn to an 18-year, COP630bn
loan. Infrastructure funds in Colombia have also funded
Pacifico 3 and
Costera in the 4G program.