On the go: The £82.2bn Universities Superannuation Scheme has made an additional investment in utility company Thames Water, increasing its holdings in the business to almost 20 per cent.
The scheme acquired an additional 8.77 per cent stake in the utility company from Wren House Infrastructure Management, it announced.
USS first invested in Thames Water in 2017, when it acquired a 10.94 per cent stake.
“While challenges remain, including ageing infrastructure and the impact of climate change, Thames Water has performed well over the past year,” USS said when announcing the investment.
It listed improved leak detection, planned upgrades to sewage works, and the new net zero roadmap as some of the company’s current priorities.
“Under its new management team, the company is juggling many priorities such as net zero that will require the kind of decades-long investment time horizon, as well as stewardship skills that we can offer. We look forward to supporting on the next stage of the company’s journey,” said Simon Pilcher, chief executive of USS Investment Management.
Mike Powell, head of the private markets group at USSIM, added that while “real progress has been made… customers and the general public quite rightly expect more”.
“This will require hard work and further substantial long-term investment,” he said.
The USS is keen to invest in UK infrastructure, but high levels of competition mean that assets are not always affordable for pension schemes, as recently reported by MandateWire.
This article originally appeared on MandateWire.com
