Saudi PIF commits up to 20% in Investcorp & Aberdeen’s infrastructure fund

By Amirtha P S, Desk Reporter
  • Follow author on
Representational Image

Saudi Arabia’s sovereign wealth fund, Public Investment Fund (PIF) is investing in a new regional infrastructure fund set up by Bahrain’s global asset manager Investcorp and Aberdeen Standard Investments.

The PIF contributed up to 20 percent of the total size of the Aberdeen Standard Investcorp Infrastructure Partners’ (ASIIP) fund ahead of its expected first closing, Investcorp said in a statement. The size of the fund was not disclosed.

Investcorp has also received board approval from the Asian Infrastructure Investment Bank (AIIB) to commit $90 million. It is expected that the fund will be joined by other global institutional investors, including pension funds, insurance companies, endowments, family offices and private clients.

Sami Neffati
Sami Neffati
Managing Partner – ASIIP

“PIF is one of the largest and most impactful sovereign wealth funds in the world and a driving force in Saudi’s economic transformation in line with Vision 2030, we are thrilled by our partnership. ASIIP identified significant opportunities in Saudi Arabia and the region. We are drawing on our unrivaled network of global relationships and expertise to foster foreign, regional and local investment in sustainable infrastructure that preserves the environment, and serves communities and future generations.”

“Today’s uncertain and challenging economic environment has created a gap between the need to develop or upgrade critical infrastructure and the resources available for such projects. We believe that investing in infrastructure is critical for supporting long-term economic growth,” Hazem Ben-Gacem, Co-Chief Executive Officer of Investcorp, said.

PIF, the sovereign wealth fund of Saudi Arabia, is the engine driving the economic transformation of Saudi Arabia as part of its Vision 2030 objectives. This investment is in line with PIF’s mission of building strategic economic partnerships, unlocking promising economic opportunities, and deploying patient capital to support sectors with significant long-term growth potential.

ASIIP aims to participate in the economic transformation in the Gulf Cooperation Council (GCC) and the wider Middle East and North Africa (MENA) region by investing in sustainable core infrastructure projects. The fund will deliver services in healthcare, education, water, mobility and digital infrastructure.

Related: Investcorp plans to delist from Bahrain Bourse eyeing further growth