3i Group has made an irrevocable offer to Barclays Bank to acquire Barclays Infrastructure Funds Management Limited (BIFM), its European infrastructure fund management business. BIFM has assets under management of approximately £780 million and an investment team based in London and Paris.
Simon Borrows, 3i Chief Executive says, “This move will increase our income from third party assets under management."
The proposed transaction is subject to the completion of an employee information and consultation process, as well as other regulatory conditions. BIFM under public private partnership (PPP) infrastructure market, raised its first fund in 1996. To date it has invested a total of £1.7 billion across six funds.
BIFM currently manages two active unlisted funds that invest in UK and European PPP and other energy projects. In future, 3i intends to leverage the BIFM platform to bring incremental deal flows to 3i Infrastructure and raise new funds.
