BlackRock To Launch Two New PE Funds After ELTIFs Raise Almost €1bn

The Private Infrastructure Opportunities ELTIF exceeded fundraising targets and follows BlackRock's Private Equity Opportunities ELTIF, which raised €509m and closed in April last year.

Off the back of this, BlackRock said that it now intends to bring two more private equity focused ELTIFs to market in 2023.

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The firm's €415m ELTIF will invest in a portfolio of global private infrastructure projects, focusing on direct co-investment opportunities, with at least 50% of the portfolio being infrastructure co-investments within Europe.

BlackRock said that the fund will include three core trends of digitalisation, decarbonisation and decentralisation, targeting sectors such as transportation and logistics, energy, power and utilities, telecommunications and environmental and social infrastructure.

Serge Lauper, global head of BlackRock Infrastructure Solutions, said: "We believe private infrastructure assets have a sizeable role to play in wealth portfolios, particularly in a volatile market environment, thanks to their diversification properties and long-term investment horizon."

He added that infrastructure investments also have the potential to hedge some of the effects of inflation and "looking ahead, as infrastructure financing needs to increase, we expect to see growing demand for private capital investment in infrastructure projects over the long term".

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West Lockhart, head of wealth and family offices for BlackRock Alternatives Specialists EMEA, added: "The successful fundraise for the BlackRock Private Infrastructure ELTIF is testament to increasing client appetite for private markets, particularly infrastructure, an asset class which can have a tangible impact on local economies," and said it can play a "vital role" in "helping broaden individual investor access to alternatives".

He added: "We are delighted to be delivering these investment opportunities to wealth clients across Europe today and we look forward to evolving our offering even further next year."

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