3i Group has acquired a portfolio of eight operational public-private partnerships in France from DIF Capital Partners.
The portfolio, which includes six prisons, three educational projects, a wastewater collection concession, a train station and 12 fire stations, has been bought for the 3i European Operational Projects Fund, which raised 鈧�456m in 2018.
DIF said all the assets had been acquired as greenfield projects for its DIF Infrastructure III fund, 鈥渁nd have been successfully managed into stable operational projects during DIF鈥檚 ownership鈥�.
Andrew Freeman, head of exits at DIF, said: 鈥淲e are pleased with the sale of the portfolio that was successfully optimised throughout the life of the assets and exited via a competitive portfolio sales process.
鈥淭he sale represents a further underpinning of DIF鈥檚 long standing track record in the French infrastructure market and is an attractive exit for DIF III.鈥�
All projects are fully operational and are availability-based, backed by public counterparties, although 3i said the wastewater collection concession had 鈥渁 moderate level of demand risk鈥�.
Stephane Grandguillaume, 3i partner in charge of origination for the fund, said: 鈥淭his is a high quality portfolio with an attractive yield profile consistent with the fund鈥檚 mandate, providing further risk diversification.鈥�
The fund is focusing on France, Benelux, Germany, Italy and Iberia, and is primarily targeting social infrastructure and transportation, but will also consider telecoms and utilities.
