Connect with us

US States begin to woo Sovereign Wealth Funds

Published

on

Sovereign wealth funds are constantly examining investment opportunities across the globe. Investment in public infrastructure by foreign investors has been in the news headlines for months. Now, we are seeing state governments market their securities overseas in hopes to lure investors in their bonds. State governments across the United States are in dire fiscal shape. According to the Center on Budget and Policy Priorities, a US policy organization, New Jersey will have a $10.5 billion projected FY 2012 shortfall.

Selected States with FY 2012 projected shortfalls include:

  • California – $25.4 billion
  • Illinois – $15.0 billion
  • New York – $9.0 billion
  • Florida – $3.6 billion

Source: Center on Budget and Policy Priorities

As residential home foreclosures increased and values plummeted in the United States, it significantly lowered taxable revenues to the government. This lower tax base has starved the growing beast of state government. State politicians are scratching their heads. Some leaders want to raise taxes and fees, while others want to cut services and reform pensions. [ Content protected for Sovereign Wealth Fund Institute Standard subscribers only. Please subscribe to view content. ]

IFM, Polish Development Fund, PSA Acquire Gdansk Terminal

Published

on

The Polish Development Fund, known locally as Polski Fundusz Rozwoju S.A. (PFR), signed a deal to lead an investor group to acquire the largest container terminal in Gdansk from an infrastructure fund managed by Macquarie. The transaction is worth more than 5 billion zlotys (US$ 1.3 billion). DCT Gdansk is the only terminal in Baltic sea region that can serve Ultra Large Container Vessels, also known as UCLVs.

The Polish Development Fund and IFM Investors will each acquire a 30% stake in the Gdansk terminal, while PSA International Pte Ltd (which is owned by Temasek Holdings), will own 40% of the terminal.

Macquarie was advised by Goldman Sachs.

Continue Reading

Williams and CPPIB Create $3.8 Billion Venture in the Marcellus and Utica Basins

Published

on

Tulsa-based Williams Companies Inc. (Williams) disclosed a series of transactions that will establish a new platform for the optimization of its midstream operations in the western Marcellus and Utica basins through a long-term partnership with Canada Pension Plan Investment Board (CPPIB). This deal gives CPPIB more exposure to the North American natural gas market.

CPPIB Investment

[ Content protected for Sovereign Wealth Fund Institute Standard subscribers only. Please subscribe to view content. ]

Continue Reading

Indian Infrastructure Continues to be Packaged and Sold to Long-Term Institutional Investors

Published

on

Reliance Infrastructure Limited, India’s for-profit power generation, infrastructure, construction, and defense company, has announced that it will sell its interests in a toll road for US$ 518.9 million, reducing the company’s debt by a quarter. Reliance has been trying to spin off non-core assets and raise money to escape debt by the end of the year, according to company reports. Singapore’s Cube Highways and Infrastructure will buy the Delhi-Agra Toll Road, which manages a six-lane road connecting New Delhi to Agra. Cube Highways and Infrastructure was formed by global infrastructure fund I Squared Capital and the Abu Dhabi Investment Authority. CHI specializes in toll roads in India.

[ Content protected for Sovereign Wealth Fund Institute Standard subscribers only. Please subscribe to view content. ]

Continue Reading

Popular

© 2008-2018 Sovereign Wealth Fund Institute. All Rights Reserved. Sovereign Wealth Fund Institute ® and SWFI® are registered trademarks of the Sovereign Wealth Fund Institute. Other third-party content, logos and trademarks are owned by their perspective entities and used for informational purposes only. No affiliation or endorsement, express or implied, is provided by their use. All material subject to strictly enforced copyright laws. Registration on or use of this site constitutes acceptance of our terms of use agreement which includes our privacy policy. Sovereign Wealth Fund Institute (SWFI) is a global organization designed to study sovereign wealth funds, pensions, endowments, superannuation funds, family offices, central banks and other long-term institutional investors in the areas of investing, asset allocation, risk, governance, economics, policy, trade and other relevant issues. SWFI facilitates sovereign fund, pension, endowment, superannuation fund and central bank events around the world. SWFI is a minority-owned organization.