Expertise and Connections

  1. Supporting customer deals and underwriting by leveraging AIC founders’ industry connections (AIC will enable access and bring customers).
  2. Offering unique leverage – access to govt grants, access to portfolio synergies (to deliver non-dilutive capital through grants).
  3. Representing new sector funders – matching the significant demand for new capital and depth of future capital into deals.
  4. Adding value to existing management by leveraging past experience (i.e. what to do to speed up decisions and build organisations).

Funding

  1. Targeting deployment of a significant amount of equity – minimum US$100m with up to US$500m in phases per investment. Two investments/annum.
  2. Subsidy-backed funding strategies that reduce equity requirements whilst increasing/aligning returns with govt requirements.
  3. Creative funding structures and market assessment to optimise financial performance.
  4. Capital accurately matched to revenue (to efficiently deploy capital and create a structure without unnecessary dilution).

Management

  1. De-risking through backing established local management teams with growth potential and filling gaps as needed.
  2. AIC directly supporting management as active non-executives based on proven industry experience.

Deal Flow

  1. Off market deals usually presented before third party advisors have access due to attraction of working with AIC Founders.
  2. Incentive-based financing structures accepted by investee companies with reduced entry valuations.
  3. Sweet point targeting for phased investment with growth and recap rather than concept risk.

Proven Industry Leadership

In a growing, albeit nascent, industry proven operational experience is a key differentiator. AIC’s founding partners have recognised leadership status in the data centre industry. They, combined with a team of seasoned professionals, have generated significant value to investors and built over 100 years of trusted relationships.

Macro-Opportunity

The tail winds of generative AI and a greater emphasis on data sovereignty and privacy is driving accelerated demand for digital infrastructure assets. With forecast global demand growth of 15% CAGR until 2030. This coupled with the thematic of energy transition provides the potential for high expected returns (ROIC and IRR)  and sustainability & diversification for LPs.

Investment Challenge

Whilst customer and investor demand for this asset class is accelerating, there are already significant supply-side mismatches, which includes a lack of appropriate investment access, especially for non-institutional investors.

Sweet Spot Strategy

The opportunity exists to invest in and develop Digital Infrastructure Investments meeting core future success criteria (AI / sustainable power security / govt support / local management) with a unique focus on providing “in life value crystallisation” and managed exits combined with leading management capability and deep-sector operational expertise. By focusing on these at growth stage enables sufficient capital to effectively scale and provides a platform for investment success.

Value Creation Approach

Building on the founders’ successful track records, AIC has established a systematic value creation approach majoring on 3 key levers across the deal cycle. AIC believes that these will deliver consistent outperformance on investments and support principles of sustainable finance.

Current Deal Pipeline

AIC currently has USD $3-5bn in off-market deal pipeline which is systematically screened and prioritised on an ongoing basis. Further information is provided within this deck.

Investment Thesis

The fund focus is to offer access to a portfolio of private market digital infrastructure investments that have significant growth potential and scaling benefits on a global basis ex-PRC.

  • A strategic vertical focus on the dynamic AI-driven Cloud and Generative AI infrastructure requirements where premium returns can be achieved through speed to market, price, scale and efficiency.
  • A geographic focus on Tier 2 and special case Tier 1 market opportunities. The Tier 2 markets include: SE Asia, India, LATAM, Nordics, Southern & Eastern Europe and the Middle East as projected ‘pivot’ locations for digital infrastructure scaling over the next decade. Key economic and regional characteristics of each Tier 2 opportunity market differ.
  • The acquisition of interests in strategically aligned regional or national hubs with locally expert, technically capable and highly energised management teams.
  • The development of each business through improvement,  acceleration and expansion with acquired teams being backed to deliver returns within each element of the portfolio with appropriate injections of capital.
  • A consistent focus on the efficient use of scarce resources, particularly renewable power and AI GPU drivers with a strong ESG agenda across the whole portfolio.
  • Optimised financial structures and market assessment to maximise investor returns, targeting 20-25% IRR
  • The team have managed private market investments over the last 12 years achieving 8.5x for early investors and 2x+ return on invested capital for later investors