The Pensions Infrastructure Platform (PiP) is set to acquire a £400m portfolio of interests in 10 UK public-private partnership projects from Aberdeen UK Infrastructure Partners.

The portfolio, to be managed directly by PiP, includes hospitals, highway operations and maintenance contracts, social housing and energy from waste projects.

Acquired on behalf of PIP’s Multi-Strategy Infrastructure Fund, it is PiP’s sixth acquisition in the last 18 months, having acquired two infrastructure debt platforms; 31 onshore wind turbines; six solar energy parks and a stake in a ferry company. All are now under the direct ownership of UK pension schemes.

According to PiP, the purchase means it has now exceeded its initial funding objective of £600m, securing close to £750m of investment from pension schemes.

PiP looks to invest in the long-term, targeting assets capable of providing 20-30 years of inflation linked cash flows, within a diversified portfolio.

PiP chief executive, Mike Weston, said: “These projects deliver vital facilities from which essential public services are provided to many thousands of people in England and Scotland. We are looking forward to working closely with the public-sector owners over the next 20-30 years to ensure these facilities are maintained and operated to the highest possible standards.”

He added: “It demonstrates that it is possible for a group of UK pension schemes to collaborate to make long-term investments in infrastructure. Our buy and hold investment strategy, together with our cost efficient and responsible approach to asset management, ensures that maximum value is delivered to pension scheme investors and their members.”

Share Story: