Sberbank, the largest bank in Russia and Eastern Europe headquartered in Moscow, sets to establish a seed fund for investing in infrastructure projects, the company reports on Thursday.
“The total volume of the Fund will be over 12 billion rubles ($176 million — editor’s note). Sberbank CIB acts as an anchor investor and one of the shareholders of the fund's managing company”, the document says.
The Fund will invest in public-private partnership projects. “The investment focuses on projects with a volume of capital investments from 10 billion to 100 billion rubles in transport, social, energy, communication, housing and other types of infrastructure”, it adds.
The volume of investment in the preparation and maintaining of a project will be from 60 million to 150 million rubles, with the term of the investment being up to 30 months and the life cycle of the Fund being 6 years. Over this period, more than 100 infrastructure projects are planned to be brought to the market. The financial closure of the Fund will be completed before the end of 2018, according to the press release.
Sberbank's partner in the Fund is the investment company InfraONE. Apart from that, the State Transport Leasing Company is considering the participation in the project.
“The Fund will cooperate with federal and regional government bodies, agencies and development corporations interested in launching infrastructure projects, as well as with other participants in the infrastructure market”, the document says.