Global Infrastructure Partners and Crowley Announce $300 Million Preferred Equity Investment
NEW YORK,May 31,2022 -- Global Infrastructure Partners (GIP) and Crowley Holdings today announced they have closed a $300 million preferred equity investment in Crowley Preferred Funding,LLC. The proceeds will fund key strategic capital and growth projects,including a greenfield jet fuel storage project in Darwin,Australia,and a new LNG bunker barge.
GIP,a leading independent infrastructure investor,is making the investment through Global Infrastructure Partners Capital Solutions Fund II (GIP CAPS II),part of GIP's Credit platform (GIP Credit). The funds will be available through a customized delayed draw structure.
Denny Sreckovic,Partner at GIP Credit,said: "We are excited about the opportunity to partner with a global transportation and logistics leader and help finance its strategic growth plan. Crowley's maritime transport assets provide a critical backbone in the infrastructure of global trade. Further,the Company is well positioned to capitalize on the expansion of offshore wind and other energy transition sectors. This investment exemplifies GIP's ability to work with an experienced management team and offer customized transaction structures to support the buildout of high-quality infrastructure assets."
The Crowley investment represents the fifth commitment made by GIP CAPS II. The GIP CAPS II mandate supports strategic investments for capital projects and broader growth mechanisms of corporations,providing necessary resources for companies to expand and enhance their portfolio of services. In this case,the investment fits the Crowley strategic growth plan as it develops alternative energy solutions and other innovations.
Chairman and CEO Tom Crowley said: "We welcome this opportunity to partner with GIP,a leading infrastructure investor,on this important transaction to support the continued strategic expansion of Crowley. As an experienced infrastructure investor and capital provider,GIP was able to seamlessly diligence and structure a financing that met our growth and capital structure objectives."
DNB Markets,Inc acted as financial advisor toCrowleyand the company received legal counsel fromVinson & Elkins LLP. Allen & Overy LLP provided legal counsel to GIP.
About Global Infrastructure Partners
GIP is a leading independent infrastructure fund manager that makes equity and debt investments in infrastructure assets and businesses. GIP targets investments in the energy,transport,digital infrastructure,and water/waste sectors in both OECD and select emerging market countries. Headquartered in New York,GIP operates out of 10 offices: New York,London,Stamford (Connecticut),Sydney,Melbourne,Brisbane,Mumbai,Delhi,Singapore and Hong Kong. GIP manages US $81 billion for its investors. GIP's portfolio companies have combined annual revenues of US $61 billion with nearly 100,000 employees. For more information,visitwww.global-infra.com.
About Crowley
Crowley is a privately held,U.S.-owned and -operated maritime,energy and logistics solutions company serving commercial and government sectors with more than $2.5 billion in annual revenues,over 170 vessels mostly in the Jones Act fleet and approximately 7,000 employees around the world – employing more U.S. mariners than any other company. The Crowley enterprise has invested more than $3 billion in maritime transport,which is the backbone of global trade and the global economy. As a global ship owner-operator and services provider with more than 130 years of innovation and a commitment to sustainability,the company serves customers in 36 nations and island territories through four business units:Crowley Logistics,Crowley Shipping,Crowley SolutionsandCrowley Fuels.Additional information about Crowley,its business units and subsidiaries can be found atwww.crowley.com.
