Infratil announces new capital and co-investor for Longroad

Infratil, the NZ Super Fund and the Longroad Energy management team have announced that MEAG, the asset management arm of Munich Re, has agreed to invest US$300 million to acquire a 12% stake in Longroad Energy.

This will imply a pre-money valuation of US$2,000 million, and the transaction is expected to be completed in the last quarter of the calendar year.

Infratil and the NZ Super Fund will each invest a further US$100 million and retain a ~37% stake.

MEAG’s investment is subject to certain conditions primarily US regulatory approvals.

This investment will be used to fund Longroad Energy’s near-term development pipeline and is expected to result in an estimated Annual Incentive Fee at 31 March 2023 of NZ$103 million.