Latin American Giant Patria Investments Closes Its Fifth Infrastructure Fund, Making It the Largest Vehicle of Its Kind in the Region
The Latin American alternative investment giant Patria Investments announced the closing of its fifth infrastructure fund, making it the largest vehicle of that asset class in the region. With a diversified portfolio — both in terms of countries and sectors — the Brazilian-headquartered firm continues to strengthen its commitment to real assets in Latin America.
This new fund, called Patria Infrastructure Fund V, according to a statement released by the firm, raised $2.9 billion, including capital commitments and vehicles related to the investment program. According to data from Preqin and Infrastructure Investor, this makes it the largest vehicle dedicated to infrastructure investment in Latin America.
The strategy, the firm explained, is well diversified across the region, with a strong presence in Brazil, Colombia, and Chile. At the sector level, the portfolio focuses on strategic areas, including toll roads, data centers, water desalination plants, renewable energy, and electric mobility.
As part of its closing, Patria’s fifth infrastructure fund attracted commitments from both new and returning investors, including sovereign wealth funds, pension funds, asset managers, insurance companies, and development finance institutions.
Moreover, the vehicle has already completed some investments and co-investments in Chile, Colombia, and Brazil. Additional commitments are anticipated in the coming months within Fund V’s portfolio.
“Patria’s deep expertise in the region’s sectors strongly positions us as a local gateway for investors,” said Felipe Pinto, Managing Partner and Head of Infrastructure Development Funds at the firm, adding that the investment house “has managed to create solutions by leveraging the inherent benefits of real assets” across Latin America.
Key Spaces in the Asset Class
According to Patria, its team has identified a “relevant and attractive” market in Latin American infrastructure, valued at over $90 billion for the next 5 to 7 years across its key operational sectors. This includes recurring investment theses such as highways and renewable energy, as well as emerging secular trends such as electric mobility and the sectors of sanitation and waste management.
The strategy envisions growth coming from renewable projects and initiatives tied to the energy transition. Meanwhile, opportunities in logistics and transportation will be driven by new highway concessions, commodity logistics, and urban mobility projects.
In addition, the expansion of data centers and 5G networks will continue to create opportunities within the digital infrastructure space, while the waste management sectors and the privatization of sanitation assets will help drive opportunities within environmental services.
“We anticipate continued growth, both in terms of client demand and investment opportunities, in the Latin American infrastructure market,” emphasized Andre Sales, Managing Partner and CEO of Patria Infrastructure, “driven by the persistent need for private capital in local infrastructure and the evolution of local capital markets.”
