Industrial Alliance Insurance and Financial Services Inc. is making its first investment in Australia.
It’s in the form of debt to the tune of A$25 million ($24.8 million) in the New Royal Adelaide Hospital (RAH) project in Adelaide, South Australia.
The hospital is a public-private partnership (P3) with respect to the design, construction, financing and use of this hospital over a 35-year period. Construction began in 2011, and the new RAH will open its doors in 2016.
“Industrial Alliance is one of the first Canadian insurers to invest in Australia. This investment is part of the strategy to healthily diversify our investment portfolio,” says Michel Tremblay, executive vice-president and chief investment officer with Industrial Alliance. “Additionally, it allows us to get our name out there as an investor in the Australian market, a market which has significant opportunities for growth.”
The consortium put in place to deliver this P3 project comprises approximately 30 members and includes Australia and New Zealand Banking Group Ltd., the Banco Bilbao Vizcaya Argentaria (Hong Kong Branch) and the Westpac Banking Corp.
As at June 30, 2014, Industrial Alliance’s investments represented total assets of C$25.4 billion.
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