Caisse des Dépôts (CDC), Cassa Depositi e Prestiti (CDP), the European Investment Bank (EIB), Caisse de Dépôt et de Gestion (CDG) and EFG Hermes have launched InfraMed Infrastructure, the first financing facility of the Union for the Mediterranean. The InfraMed Fund will be the largest fund dedicated to investments in infrastructure in the Southern and Eastern Mediterranean region. With initial commitments of EUR 385 million, the new fund is targeting commitments of EUR 1 billion.
Augustin de Romanet, CEO of Caisse des Dépôts (France), Professor Franco Bassanini, President of Cassa Depositi e Prestiti (Italy), Philippe de Fontaine Vive, Vice-President of the European Investment Bank (EIB), Anass Houir Alami, CEO of Caisse de Dépôt et de Gestion (Morocco) and Yasser El Mallawany, CEO of EFG Hermes (Egypt), all of whom members of the Investors Board of the Company, signed today in Paris to set up InfraMed and collectively committed EUR 385 million at first close.
At its first meeting, the Investors Board appointed Professor Franco Bassanini as its Chairman and Messrs Augustin de Romanet and Anass Houir Alami as Vice-Chairmen,
The Board designated Mr Rachid Mohammed Rachid, Minister of Trade and Industry of the Arab Republic of Egypt as Chairman of the Strategic Board that will be responsible for providing strategic advice and orientation on the overall development of the Company's activities.
It also approved Mr Frederic Ottavy to be appointed as CEO of ‘InfraMed Management' that will run the Fund. An "Investment Committee" composed of a majority of independent members will approve individual investments.
‘InfraMed Infrastructure' (the "Company" or the Fund), which will be established under French law, will contribute to the ‘Union for the Mediterranean' by providing funding to sustainable urban, energy and transport infrastructure projects on the Southern and Eastern shores of the Mediterranean.
The Fund will invest primarily in greenfield projects, compliant with minimum requirements with respect to environmental protection, social impact, transparency and procurement, and with a view to generally holding investments over a longer term than traditional private equity infrastructure funds, the Company being rooted in a philosophy of long term economic return.
A unique characteristic of InfraMed Infrastructure is that it will rely on a partnership with Caisse de Dépôt et de Gestion (Morocco) and EFG Hermes (Egypt), and with local infrastructure investment funds to be raised by these two institutions in their respective countries. Two newly created funds will invest in infrastructure projects alongside InfraMed that will allocate a minimum of 20% of its investments to each of Egypt and Morocco.
Caisse des Dépôts and Cassa Depositi e Prestiti will each commit EUR 150 million, Caisse de Dépôt et de Gestion EUR 20 million, EFG Hermes EUR 15 million and the European Investment Bank (EIB), the financing institution of the European Union, EUR 50 million. The Fund volume is targeted at EUR 1 billion.
For more information on InfraMed, see the briefing note here attached.