Infrastructure provides essential services and facilities. As with real estate, infrastructure assets generate stable income and inflation protection over the long term. These characteristics are a good match for our clients’ liabilities and help manage overall portfolio volatility.
We invest in global mid-market infrastructure directly, as co-investors alongside strategic partners, and through external fund relationships. Our portfolio is diversified by geography, sector, development stage and contractual frameworks, which reduces our exposure to any single market or regulatory regime.
We intend to hold infrastructure assets for the long term. We are establishing strong partnerships with like-minded investors and building the internal expertise and capabilities to participate directly in complex transactions and add value to our investments through operational improvements.
Infrastructure assets under management, as at December 31, 2018
Of IMCO’s overall portfolio
IMCO is developing a track record for putting our responsible investing approach into action. We continue to look at ways to manage ESG factors and to collaborate with asset management peers.
Canadian Hydroelectric Portfolio
IMCO retains a 25% stake in a 413-megawatt Canadian hydroelectric portfolio (with its consortium partners). The portfolio includes the 349-megawatt Great Lakes Power system in Ontario, the 19-megawatt Carmichael facility in Ontario, and the 45-megawatt Kokish facility in British Columbia. The facilities are underpinned by power purchase agreements with investment-grade off-takers and long-term contracts.
Bioenergy Infrastructure Group
IMCO is invested in Bioenergy Infrastructure Group (BIG), a UK-based firm that focuses on extracting energy from waste. Interest was acquired through a co-investment with Infracapital, a UK-based infrastructure investor. BIG benefits from renewable energy incentives put in place by the government and derives revenue from energy generation purchase agreements.
IMCO acquired interest in euNetworks through a co-investment with U.S.-based Stonepeak Infrastructure Partners, who, together with its investors, hold majority control of the firm. With over 20,000 km of metro and long-haul fiber, situated in key metro markets covering 49 cities in 15 countries throughout Europe, euNetworks’ assets serve as core internet infrastructure providing mission critical bandwidth connectivity services to a customer base with ever- increasing demands.
CLH Group is the largest refined oil logistics (pipeline and storage) operator in Spain with a transportation and storage network that covers the entire country. The company also operates internationally through affiliates in the United Kingdom, Europe and the Middle East.
CLH Group maintains a dominant market position and benefits from stable and predictable contracts with its customers and major oil and gas companies.
Red Funnel is a major ferry operator in Southern England. It is one of the few means of mass travel to and from the Isle of Wight for foot traffic, cars and freight.
The Isle of Wight is one of the most popular tourist destinations in the United Kingdom, with approximately 2.4 million visitors each year. As one of two ferry operators, the company provides an essential service to residents and visitors, with over 30,000 annual sailings.