French insurer debt arm hits €236m first close on infra fund

Zencap has raised capital from four fellow institutions and will invest across the asset class through Natixis' infrastructure platform.

Zencap Asset Management, the private debt unit of French insurer OFI, has reached a €236 million first close on its second infrastructure offering.

Launched in July this year, Zencap Infra Debt 2 attracted pledges from “four institutional investors in the insurance sectors,” Zencap said. It will invest through the infrastructure platform of French bank Natixis.

The milestone boosts Zencap’s infrastructure debt assets under management to €500 million, out of the €1.4 billion of total assets it oversees. The vehicle will invest across sectors including social infrastructure, utilities, renewable energy, transportation, and waste and water processing.

Zencap Infra Debt 2 is a French Fonds Commun de Titrisation, a dedicated vehicle under co-ownership with no separate legal personality.

A similar structure was established last year when French mutual insurance company MACIF Group partnered with Natixis to target infrastructure debt, with the former committing €250 million to co-finance infrastructure projects. Zencap was also tasked with deploying the money.

The move followed several similar initiatives by Natixis over the past few years, through which it joined forces with the likes of Ageas and CNP Assurances.