Why debt discipline matters as infrastructure’s definition expands

An episode of The Infrastructure Investor Podcast on how infrastructure debt is being shaped by a widening definition of the asset class, following record fundraising in the sector. IFM Investors' head of debt investments David Cooper and Solas Capital CEO Sebastian Carneiro discuss where lending opportunities sit, including energy-as-a-service models that decarbonise buildings and industry in areas where banks are largely absent. They also cover staying disciplined on debt, why moving down the capital structure is not needed to find returns, and how AI is affecting how deals are done and assets are run.

1. The description says infrastructure fundraising set records last year while the definition of the asset class keeps stretching, creating opportunities and challenges.
2. Energy-as-a-service models that decarbonise buildings and industry are identified as an area where banks are largely absent.
3. Europe's energy security crises and incoming regulation are described as turning building decarbonisation from an option into an obligation.
4. The guests discuss staying disciplined, why moving down the capital structure is not necessary for returns, and AI's role in dealmaking and running assets.