Infrastructure offers low correlation relative to other asset classes and the ability to seek predictable inflation-linked cash flows.
Northleaf’s infrastructure strategy seeks to create value and provide attractive returns by growing and/or de-risking each investment.
Investment Approach
Our flexible strategy provides a diversified portfolio of less-correlated assets.
We have the flexibility to invest across targeted sub-sectors, primarily in North America, with a focus on assets with contracted revenue frameworks.
We acquire small/mid-sized infrastructure assets through equity investments between $100 million and $300 million.
Our extensive industry networks and established reputation as a trusted infrastructure investment partner result in our ability to source more than 250 opportunities annually.
Sub-Sectors
Renewables & Energy Transition
Sector benefits from ambitious renewable power targets, ongoing technological advances, and secular trends as developed countries transition away from conventional energy.
Communications Infrastructure
Tailwinds include increasing data usage, accelerating rollouts of fibre, cellular towers and data centre platforms.
Transportation & Other Contracted Infrastructure
Opportunity exists in the growing number of smaller transportation assets, more creative utilization of concession frameworks, and rise of contracted assets in new sectors.
Investment Philosophy
Proactive Deal Sourcing
Differentiated sourcing strategy provides access to proprietary transactions across target geographies and sub-sectors
Disciplined Underwriting
Underwriting and valuation discipline with conservative leverage
Value Creation
Value added throughout the investment process to effect the growth and de-risking of investments
Responsible Investment Considerations
ESG risks and opportunities are assessed and evaluated throughout the investment process and ongoing asset management
Our successful track record in infrastructure traces back to several key factors, not the least of which includes our focus on small- and mid-sized transactions – a segment far more likely to produce proprietary deal flow. In our conservative underwriting, we seek to 'act like an owner’ before acquiring an asset. And then, post-acquisition, we work with management to improve operations, facilitate strategic growth, and embark on other initiatives to create value and further de-risk the investment.
