Ancala Partners, a London-based independent mid-market infrastructure investment manager, has held a €133 million ($146 million) first close of its second fund, Ancala Infrastructure Fund II.
Ancala raised capital from a combination of European and international investors.
The fund will invest in a portfolio of small to mid-sized core infrastructure businesses across Europe and expects to have further closes this year with a final target of €600 million ($662 million).
The fund’s strategy will be based on the fund’s predecessor, which also invests in core, small to mid-market infrastructure assets.
Ancala believes small- to mid-cap infrastructure companies have typically not received the full attention of their previous owners, which creates opportunities to improve cost structures and operations through a hands-on asset management approach.
“Small to mid-sized companies in the European market are particularly compelling investments at this time, providing the opportunity for us to add value through operational improvements and by growing such companies organically and from bolt-on acquisitions,” said Spence Clunie, managing partner for Ancala Partners.
