OFI Infravia Acquires a Stake in a Regulated Local Gas-Utility in France
- InfraVia European Fund II
Related M&A Transactions
On 14 Janyary 2014, OFI InfraVia announced that InfraVia European fund II, its second European infrastructure fund, has acquired from Dalkia France its 24% stake in Régaz, the regulated gas distribution network of the City of Bordeaux and 45 other neighboring municipalities for €46.5 million (US$63.6 million).
Régaz is now 51.2% owned by the City of Bordeaux, 24% by GDF Suez, 24% by OFI InfraVia and 0.8% by local authorities.
Vincent Levita, founder and CEo of OFI InfraVia, stated:
Our investment in Régaz aligns perfectly with our investment strategy in midcap infrastructure assets and we are pleased to provide InfraVia II investors with access to a robust European regulated business. We look forward to working with the other shareholders, the management team and the employees of Régaz to ensure the continuing quality of service and contribute to the further development of the company.
Gas distribution in france is regulated by the Commission de regulation de l'Energie (CrE) under a standard WACC-based RAB regime. With a RAB of approximately €265 million (US$362.3 million), Régaz is France's largest independent gas distribution company, which operates and services a network of 3,315 km and 210,000 points of delivery.InfraVia II is managed by paris-based manager OFI InfraVia and is the successor fund of InfraVia, established in 2008 and which is now fully invested. The new fund is seeking total commitments of €400 million.
On October 23rd, 2012, OFI InfraVia announced that the fund had raised €150 million from leading french and European institutional investors in a first closing of the fund.