Goldman Seeks $4 Billion for Newest Infrastructure Fund

(Bloomberg) -- Goldman Sachs Group Inc. is seeking to raise $4 billion for its latest infrastructure fund, dubbed West Street Global Infrastructure Partners IV, according to people with knowledge of the matter.

The firm, which has held discussions with potential investors such as pensions funds, is aiming to hold a first close on the vehicle as soon as the third quarter, one of the people said.

A Goldman spokesman declined to comment.

New York-based Goldman last raised at least $2 billion for its third infrastructure fund, according to data compiled by Bloomberg. Investors in the vehicle include the Teachers' Retirement System of the State of Illinois, Surrey County Council Pension Fund and insurance company UnipolSai Assicurazioni SpA. It has backed firms including U.S. waste-management company Synagro Technologies, British fiber-network operator CityFibre and a data center platform, Global Compute Infrastructure LP.

Infrastructure-focused funds have sought to raise capital at a rapid pace amid enthusiasm for the perceived stability of returns offered by the sector, which can include transportation, energy-storage, utilities and digital-communications assets.

KKR & Co. is seeking about $12 billion for its fourth infrastructure fund, and EQT AB earlier this year held the first close for its fifth infrastructure fund at 12.5 billion euros ($14.8 billion). In May, EQT said one of its affiliates had accepted a bid from Goldman's newest infrastructure fund for shares in Adapteo Oyj, a flexible real estate provider in Northern Europe.

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