Keppel Capital secures additional US$210m for its infrastructure fund

KEPPEL Capital, the asset management arm of Keppel Corp, on Friday announced new capital commitments of US$210 million for its Keppel Asia Infrastructure Fund.

The fund had in January achieved its first closing with initial capital commitments of US$360 million.

On Friday, Keppel Capital said the second closing of its fund has secured additional commitments of US$60 million. (see amendment note)

On top of this, the Asian Infrastructure Investment Bank has approved a US$100 million commitment as well as a co-investment sleeve of up to US$50 million.

Together with its co-investment vehicles, the fund has already acquired a 30 per cent interest in the Gimi floating liquefied natural gas facility. This facility is currently undergoing conversion at Keppel Offshore & Marine.

Christina Tan, chief executive of Keppel Capital, said the Covid-19 crisis is creating dislocations in the marketplace and opportunities for the fund to invest in businesses with high growth potential.

"The momentum of the Keppel Asia Infrastructure Fund and its ability to attract quality investors, amongst the likes of Asian Infrastructure Investment Bank, are testament to the strength of the fund's value propositions. The fund is uniquely positioned to invest in critical infrastructure assets which provide essential services in good and bad times," Ms Tan added.

The fund is managed by Keppel Capital Alternative Asset, a private fund manager under Keppel Capital that focuses on investing in new alternative asset classes including infrastructure, senior living and education.

Shares of Keppel Corp were up S$0.01 or 0.2 per cent to S$5.72 as at 1.48pm on Friday, after the announcement was made.

Amendment note: A previous version of this article stated Keppel Capital had secured US$570 million in new commitments for the infrastructure fund, including US$420 million in the second close. It had in fact secured US$210 million in new commitments, including a further US$60 million for the second close.