Swedish AP Funds form new company – Polhem Infra – for investments in infrastructure

AP1, AP3 and AP4 (Swedish National Pension Funds) form a joint company, Polhem Infra, for investments in unlisted Swedish companies focusing on infrastructure.

AP1, AP3 and AP4 have formed Polhem Infra to lay the best possible foundation for making long-term investments in infrastructure, professionally and cost-effectively, to meet society’s long-term needs for investment. The focus is on cooperation and sustainability.

Infrastructure is defined by Polhem Infra as businesses that manage or provide social services and assets such as renewable power production, energy storage, energy distribution and digital infrastructure. Polhem Infra’s goal is to be a stable, responsible, long-term owner.

Polhem Infra will focus on large investments in the private and public sectors. Investments will primarily be made alongside other long-term industrial or financial partners.

Polhem Infra is backed by public Swedish pension capital through AP1, AP3 and AP4. The role of the funds in the pension system is to generate good returns at a well-balanced risk, in order to bolster the pension system for current and future pensioners. Polhem Infra complies with AP Funds legislation as regards to investments rules.

The funds have long experience of investing in and building profitable unlisted companies, Vasakronan, Hemsö, Ellevio, Rikshem, CityHold and Willhem being examples. Infrastructure complements the investment categories of equities, bonds and traditional real estate through long-term, stable, inflation-linked cash flows.

Johan Magnusson, CEO of AP1, Kerstin Hessius, CEO of AP3 and Niklas Ekvall, CEO of AP4, have jointly issued the following statement:

“Sweden has a great need of both public and private investment in infrastructure. Parts of the existing infrastructure will require major investment to meet society’s demands for quality and sustainability. With long-term ownership and a focused sustainability process, Polhem Infra has the capacity to be an attractive, priority player and business partner, which in the long term will benefit both the pension system and society in general.”

For further information, please contact:

Johan Magnusson, CEO, AP1. Phone +46 (0)8-566 202 00
Sara Christensen, Head of Communication, AP1. Phone +46 (0)70-968 12 50

Kerstin Hessius, CEO, AP3. Phone +46 (0)8-555 17 100
Lil Larås Lindgren, Head of Communication, AP3. Phone +46 (0)709-517 223

Niklas Ekvall, CEO, AP4. Phone +46 (0)8-787 75 00
Tobias Fransson, Head of Strategy & Sustainability, AP4. Phone +46 (0)8-787 75 28

Images of the AP Funds behind Polhem Infra can be found here.

The Swedish National Pension Funds, AP Funds

The AP Funds manage buffer capital in Sweden’s national pension system for the benefit of current and future pensioners, on behalf of Swedish Parliament and the Swedish people. The AP Funds (AP1–AP4) share the same mission but have different asset management strategies, and they are governed by the National Pension Insurance Funds Act (2000:192) (the AP Funds Act). At the end of 2018, net assets totalled almost SEK 1,400 billion. The AP Funds balance payments into and disbursements from the pension system, and have since the beginning paid SEK 146 billion into the system. These assets comprise approximately 15 per cent of total assets in the pension system.

www.ap1.se  www.ap3.se  www.ap4.se

Polhem Infra

Polhem Infra is an investment company, founded jointly in 2019 by the Swedish National Pension Funds AP1, AP3 and AP4. The company focuses on direct investments in unlisted Swedish businesses that manage or provide social services and assets such as renewable power production, energy storage, energy distribution and digital infrastructure.