The number of transactions completed by listed infrastructure fund managers has grown significantly in the period 2003 to 2013, with just 27 transactions taking place in 2003, in comparison to the 107 deals already recorded in 2013 YTD. This growth emulates the general increase in the number of listed infrastructure funds coming to market in the past decade.
Although the number of deals completed by listed infrastructure fund managers has grown steadily during this period, deal flow was severely impacted by the financial crisis with the number of completed transactions in 2008 and 2009 sinking 46 and 36 respectively. However, the 107 deals completed by listed fund managers so far in 2013 reflects a slight recovery of listed infrastructure funds in the current market and a growth in the number of deals completed by such firms annually.The average deal completed by a listed infrastructure fund manager in 2013 YTD amounts to $170mn, considerably less than the $600mn average for deals completed by unlisted infrastructure fund managers this year. Of the deals completed by listed fund managers so far in 2013, 92% are valued below $500mn, and 5% have a transaction value of between $500mn and $999mn. Just 3% of all deals made by listed fund managers in 2013 YTD have an average deal size of higher than $1bn. This is a slight decrease from 2012, when 12% of deals made by listed infrastructure fund managers were above $500mn in total value.
Europe is the prominent market in terms of listed infrastructure fund manager deal flow, with 52% of deals in made by such firms in 2013 YTD involving European assets. North American deals account for 34% of the total, and Asian deal flow equates to7%. Deals that have been made by listed infrastructure fund managers outside of these regions also account for 7%. In terms of industry sector, social infrastructure has been the most active sector for listed infrastructure fund managers in 2013, with 35% of all transactions made in social assets. Renewable energy is also a key sector, representing 26% of total deals made by listed infrastructure funds. Energy and transportation assets have also been prominent sectors in 2013 accounting for 19% and 12% of total deals made by listed infrastructure fund managers respectively.