Singapore’s GIC acquires UK gas pipeline firm, Berlin hotel

Photo from Kellas Midstream's website.

Singapore’s sovereign wealth fund GIC has partnered with private equity major BlackRock to acquire Kellas Midstream, a UK gas pipeline and terminal owner, from PE firm Antin Infrastructure Partners.

Financial details of the acquisition were not disclosed. GIC said the deal is expected to close in early 2020.

Kellas Midstream owns and operates key gas infrastructure in the UK and Southern North Sea. The firm was formed when Antin first acquired a 63 per cent stake in gas transportation and processing system Central Area Transmission Systems (CATS) from BG Group in 2014 for 562 million pounds ($724 million).

A year later, Antin increased its stake to 99 per cent by purchasing BP’s 36.22 per cent interest.

Kellas Midstream further expanded its business by acquiring 65 per cent of Esmond Transportation System, a subsea pipeline in the Southern North Sea, in 2017 from Premier Oil, Centrica, and Perenco.

It is also building the Humber Gathering System, which comprises a minimal facilities platform and gas export pipeline that will export gas from the Tolmount gas field to the Easington onshore gas terminal.

“GIC and the BlackRock team recognise the growth potential of the business we have built and share our strategy to continue to invest, grow and build our portfolio of midstream assets and serve all our customers in the North Sea,” said Kellas Midstream’s Managing Director Andy Hessell.

BlackRock will invest with GIC through its Global Energy & Power Infrastructure Funds (GEPIF) III.

The acquisition comes as a growing number of institutional investors are seeking exposure to energy and power investments, according to Mark Florian, group head of the Global Energy & Power Infrastructure Funds Team at BlackRock.

“This investment in Kellas Midstream reflects the focus of GEPIF III on making strong equity investments in mid-market energy and power infrastructure and partnering with outstanding management teams,” Florian said.

RBC Capital Markets acted as the lead financial adviser to BlackRock and GIC for the transaction.

GIC, Caleus acquire Hotel de Rome in Berlin

Meanwhile, Caleus Capital Partners, an investment partnership of the Caleus Group and GIC, has acquired Hotel de Rome in Berlin from Commerz Real for an undisclosed amount.

Hotel de Rome, located in Berlin-Mitte, the city’s central district, is a 5-star hotel under the Rocco Forte Brand. Built in 1889 as the headquarter of Dresdner Bank, the property was fully renovated into a hotel in 2006. It now features 108 rooms, 37 suites, a ballroom, and spa area with a 20-metre pool.

The hotel has been in the portfolio of Hausinvest, Commerz Real’s open-ended real estate fund, since 2007.

GIC is one of the biggest overseas private equity investors in Europe. According to a PitchBook report, GIC invested $14.13 billion in Europe in the second quarter of 2018, emerging as the largest foreign PE investor during that period, overtaking other PE giants including KKR & Co, Bain Capital, and Macquarie.

Singapore Reporter/s

In Singapore, we are looking to double our reporting team by this year-end to comprehensively cover the fast-moving world of funded startups and VC, PE & M&A deals. We want reporters who can tell our readers what is really happening in these sectors and why it matters to markets, companies and consumers. The ability to write precisely and urgently is crucial for these roles. Ideal candidates must have to ability to work in a collaborative, dynamic, and fast-changing environment. We want our new hires to be digitally savvy and ready to experiment with new forms of storytelling. Most importantly, we are looking for hard-hitting reporters who work well in a team. Collaboration and collegiality are a must.

Following vacancies can be applied for (only in Singapore).

Following vacancies can be applied for (only in Singapore).   

  • A reporter to track companies/startups that have raised private capital, and have the potential to become unicorns. SEA currently has over 40 companies with a valuation of over $100 million and under $1 billion.
  • A reporter who can get behind the scenes and reveal how funding rounds are put together, or why they’ve failed to materialise. She/he in this role will largely focus on long-format stories. 
  • A journalist to track special situations funds, distressed debt and private credit (from the PE angle) across Asia.

Singapore Reporter/s

In Singapore, we are looking to double our reporting team by this year-end to comprehensively cover the fast-moving world of funded startups and VC, PE & M&A deals. We want reporters who can tell our readers what is really happening in these sectors and why it matters to markets, companies and consumers. The ability to write precisely and urgently is crucial for these roles. Ideal candidates must have to ability to work in a collaborative, dynamic, and fast-changing environment. We want our new hires to be digitally savvy and ready to experiment with new forms of storytelling. Most importantly, we are looking for hard-hitting reporters who work well in a team. Collaboration and collegiality are a must.

Following vacancies can be applied for (only in Singapore).

Following vacancies can be applied for (only in Singapore).   

  • A reporter to track companies/startups that have raised private capital, and have the potential to become unicorns. SEA currently has over 40 companies with a valuation of over $100 million and under $1 billion.
  • A reporter who can get behind the scenes and reveal how funding rounds are put together, or why they’ve failed to materialise. She/he in this role will largely focus on long-format stories. 
  • A journalist to track special situations funds, distressed debt and private credit (from the PE angle) across Asia.