I Squared Capital

I Squared Capital was founded in 2012 by former senior executives at Morgan Stanley, including Sadek Wahba, Adil Rahmathulla, and Gautam Bhandari.{{Cite web |last=Tan |first=Gillian |date=September 4, 2018 |title=I Squared Raises $7 Billion for Infrastructure Investments |url=https://www.bloomberg.com/news/articles/2018-09-04/i-squared-capital-raises-7-billion-for-infrastructure-deals |access-date=January 4, 2025 |website=Bloomberg}} In 2015, the firm closed its first fund, ISQ Global Infrastructure Fund LP, with $3 billion in total commitments with investments from the Rhode Island State Investment Commission, the New Mexico Educational Retirement Board, and Mitsubishi Corporation.{{Cite news |date=April 20, 2015 |title=I Squared Closes Debut Infrastructure Fund With $3B |url=https://www.wsj.com/articles/DJFLBO0120150420eb4kkrhdc |access-date=January 4, 2025 |work=The Wall Street Journal |language=en-US}} As of June 2018, the firm's first fund had delivered 23 percent in gross annualized returns.

Originally headquartered in New York, the firm relocated to Miami in 2018.{{Cite web |last=Martinez |first=Amy |date=August 31, 2021 |title=Miami startups: How they stack up |url=https://www.floridatrend.com/article/32085/miami-startups-how-they-stack-up |access-date=January 4, 2025 |website=Florida Trend}} In September 2018, I Squared Capital also announced the closing of its ISQ Global Infrastructure Fund II after raising US$7 billion, exceeding an initial target for the fund of US$5 billion. In April 2022, I Squared closed on ISQ Global Infrastructure Fund III LP at $15.5 billion.{{Cite news |last=Kreutzer |first=Laura |last2=Singh |first2=Preeti |date=April 12, 2022 |title=Thomas Lefebvre Resigns From Partner Role at I Squared Capital |url=https://www.wsj.com/articles/thomas-lefebvre-is-stepping-down-from-partner-role-at-i-squared-capital-11649806711 |access-date=January 4, 2025 |work=The Wall Street Journal |language=en-US}}{{Cite news |last=Warner |first=Kelsey |date=November 26, 2024 |title=I Squared Capital eyes Abu Dhabi expansion |url=https://www.semafor.com/article/11/25/2024/i-squared-capital-eyes-abu-dhabi-expansion |archive-url=http://web.archive.org/web/20241206105136/https://www.semafor.com/article/11/25/2024/i-squared-capital-eyes-abu-dhabi-expansion |archive-date=December 6, 2024 |access-date=January 4, 2025 |work=Semafor |language=en}}

In December 2023, Blue Owl Capital acquired a greater stake in I Squared by acquiring a portion of co-founder Rahmathulla's stake in the firm.{{Cite web |last=Tan |first=Gillian |date=December 14, 2023 |title=Blue Owl Lifts Stake in Infrastructure Firm I Squared Capital |url=https://www.bloomberg.com/news/articles/2023-12-14/blue-owl-said-to-lift-i-squared-stake-as-co-founder-steps-back |access-date=January 4, 2025 |website=Bloomberg}} As of November 2024, I Squared Capital has $40 billion in assets under management. As of January 2025, the firm employed 300 people.{{Cite web |last=Lucchesi |first=Cristiane |date=January 24, 2025 |title=AI Fuels Surge in Private Latin America Infrastructure Bets |url=https://www.bloomberg.com/news/articles/2025-01-24/ai-fuels-a-surge-in-private-infrastructure-bets-in-latin-america |access-date=January 30, 2025 |website=Bloomberg}}

In December 2014, I Squared bought out the Jaipur Mahua Tollways, a {{Convert|109|km|mi|abbr=out|sp=us|adj=on}} road project on National Highway 11 in Rajasthan, India.{{cite news |date=December 8, 2014 |title=I Squared Capital buys out Jaipur Mahua Tollways |url=http://articles.economictimes.indiatimes.com/2014-12-08/news/56839717_1_toll-road-road-project-infra-projects |url-status=dead |archive-url=https://web.archive.org/web/20150926032537/http://articles.economictimes.indiatimes.com/2014-12-08/news/56839717_1_toll-road-road-project-infra-projects |archive-date=September 26, 2015 |accessdate=September 1, 2015 |work=The Economic Times}} In 2014, I Squared partnered with Enduring Hydro to form Cube Hydro Partners.{{Cite news |date=June 26, 2019 |title=PE Daily: Arlington Capital Raises $1.7 Billion – Joerns Healthcare Files for Bankruptcy |url=https://www.wsj.com/articles/pe-daily-arlington-capital-raises-1-7-billion-joerns-healthcare-files-for-bankruptcy-11561555468 |access-date=January 4, 2025 |work=The Wall Street Journal |language=en-US}} Through Cube Hydro, I Squared made a number of investments in the hydro-electric power industry. In February 2015, the firm acquired 10 run-of-the-river hydroelectricity plants located in Pennsylvania, Virginia and West Virginia,{{cite news |last1=Gough |first1=Paul |title=Private equity firm buys Allegheny River hydropower facilities |url=http://www.bizjournals.com/pittsburgh/blog/energy/2015/02/private-equity-firm-buys-allegheny-river.html |accessdate=September 28, 2015 |website=Pittsburgh Business Times |publisher=American City Business Journals |date=February 24, 2015}}{{Cite news |date=February 24, 2015 |title=I Squared Capital's Cube Hydro Buys 10 Facilities From LS Power's Harbor Hydro |url=https://www.wsj.com/articles/DJFLBO0120150223eb2nsa1jp |access-date=January 4, 2025 |work=The Wall Street Journal |language=en-US}} By July 2016, the firm controlled 14 hydroelectric power facilities in the US and, following subsequent acquisitions during this period, operated a total of 19 facilities located on 10 rivers in 5 states.{{cite news |last=Wineka |first=Mark |date=July 11, 2016 |title=Cube Hydro will buy Yadkin River power plants, including High Rock dam, from Alcoa |url=http://www.salisburypost.com/2016/07/11/cube-hydro/ |accessdate=July 12, 2016 |work=Salisbury Post}}

I Squared has also invested in other sectors of the energy industry. In August 2015, the firm invested US$150 million into Amplus Energy Solutions Private Limited, an Indian rooftop solar power company.{{cite news |last1=Bhaskar |first1=Utpal |title=I Squared Capital to invest $150 million in Amplus Energy |url=http://www.livemint.com/Home-Page/9Pjd9m2u5oOPq7As7pEKzN/I-Squared-Capital-to-invest-150-million-in-Amplus-Energy.html |accessdate=September 1, 2015 |publisher=livemint}} In December 2015, I Squared purchased the {{Convert|220|mi|km|abbr=on|adj=on}} pipeline gathering system owned by WPX Energy in the San Juan Basin in New Mexico. The purchase price was reported to be US$285 million.{{Cite web |last=Fenton |first=James |date=January 8, 2016 |title=WPX sells its San Juan Basin pipeline system |url=https://www.elpasotimes.com/story/news/local/2016/01/08/wpx-sells-its-san-juan-basin-pipeline-system/78437996/ |access-date=January 4, 2025 |website=El Paso Times |language=en-US}} In January 2016, I Squared acquired Lincoln Clean Energy which develops and operates wind farms across North America, including two in Texas.{{Cite web |last=Weston |first=David |date=January 14, 2016 |title=I Squared Capital acquires US developer |url=https://www.windpowermonthly.com/article/1379374/i-squared-capital-acquires-us-developer |access-date=January 4, 2025 |website=Wind Power Monthly |language=en}} The firm sold Lincoln Clean Energy to Ørsted for $580 million in August 2018.{{Cite web |last=Jensen |first=Teis |date=August 9, 2018 |title=Danish energy group Orsted buys U.S. onshore wind developer |url=https://www.reuters.com/article/us-orsted-results/danish-energy-group-orsted-buys-u-s-onshore-wind-developer-idUSKBN1KU0MS |website=Reuters}}

In March 2016, I Squared bought the Irish power company Viridian for about one billion euros. Viridian provides about 20% of the power to Ireland through gas-fired power stations and wind farms.{{Cite news |last=Campbell |first=Peter |date=March 29, 2016 |title=I Squared targets UK after Viridian deal |url=http://www.ft.com/cms/s/0/1a04bb14-f4fe-11e5-803c-d27c7117d132.html |access-date=April 7, 2016 |newspaper=Financial Times}} In October 2016, I Squared Capital agreed to acquire Duke Energy's hydroelectric and natural gas business in Peru, Chile, Ecuador, Guatemala, El Salvador, and Argentina for US$1.2 billion.{{Cite web |last=Chediak |first=Mark |date=October 10, 2016 |title=Duke Energy Leaving Latin America Through $1.6 Billion in Deals |url=https://www.bloomberg.com/news/articles/2016-10-10/duke-to-sell-rest-of-latin-american-assets-in-1-2-billion-deal |access-date=January 4, 2025 |website=Bloomberg}}{{Cite news |last=Peralta |first=Katherine |date=October 10, 2016 |title=Duke Energy reaches deals to sell Latin American businesses |url=https://www.charlotteobserver.com/news/business/article107217892.html |access-date=January 4, 2025 |work=The Charlotte Observer}}

I Squared has made a number of investments in telecommunications infrastructure. In August 2017, the firm acquired the fixed-line phone business Hutchison Global Communications from Li Ka-shing's Hutchison Telecommunications for $14.5 billion Hong Kong Dollars ($1.86bn USD). Hutchison Global Communications operates a fiber-optic network that consists of over {{convert|1,400,000|km|mi|abbr=on}} of cable and a WiFi network that includes over 25,000 hot-spots.{{Cite news |url=https://www.ft.com/content/70a26012-750d-11e7-90c0-90a9d1bc9691 |title=LiKa-shing agrees $2bn Hutchinson fixed-line business sale |last=Massoudi |first=Arash |date=July 30, 2017 |work=Financial Times|access-date=July 31, 2017}}

In October 2020, I Squared agreed to buy the infrastructure division of GTT Communications for US$2.15 billion.{{Cite web |last=Kilgore |first=Tomi |date=October 16, 2020 |title=GTT Communications stock spikes higher after $2.15 billion deal to sell its infrastructure division |url=https://www.marketwatch.com/story/gtt-communications-stock-spikes-higher-after-215-billion-deal-to-sell-its-infrastructure-division-2020-10-16 |access-date=October 16, 2020 |website=Market Watch}} The acquisition included the submarine fiber network, data center infrastructure and services of GTT Communications in Europe and North America.{{Cite web |last=Seal |first=Thomas |last2=Tan |first2=Gillian |date=October 16, 2020 |title=GTT Sells Infrastructure Unit to I Squared for $2.15 Billion |url=https://www.bloomberg.com/news/articles/2020-10-16/gtt-sells-infrastructure-unit-to-i-squared-for-2-15-billion-kgcbv8ic |access-date=January 4, 2025 |website=Bloomberg}} In 2021, I Squared spun out of the assets acquired from GTT Communications as EXA Infrastructure, a standalone company based in London which, at the time, controlled {{Convert|103,000|km|mi|abbr=on}} of fiber optic cable and eight subsea cables, connecting 300 cities and 14 data centers.{{Cite news |last=Fildes |first=Nic |date=September 17, 2021 |title=I Squared Capital creates transatlantic telecoms network company |url=https://www.ft.com/content/b68e7a9c-dee0-4517-8e36-ebe5db36593d |access-date=January 4, 2025 |work=Financial Times}}

In March 2021, I Squared Capital announced that its £2.3 billion ($3.4 billion) joint bid with TDR Capital to acquire the British mobile power company Aggreko was accepted.{{Cite news |last=Ralph |first=Oliver |last2=Pfeifer |first2=Sylvia |date=March 5, 2021 |title=Power supplier Aggreko accepts £2.3bn private equity bid |url=https://www.ft.com/content/f7b5634f-95c5-4e6b-a6ef-921386e3baf2 |access-date=January 4, 2025 |work=Financial Times}}{{Cite web |last=Nair |first=Dinesh |last2=Gopinath |first2=Swetha |last3=Gould |first3=Ryan |date=September 18, 2024 |title=TDR, I Squared Capital Said to Consider $10 Billion Aggreko Exit |url=https://www.bloomberg.com/news/articles/2024-09-18/tdr-i-squared-capital-said-to-consider-10-billion-aggreko-exit |access-date=January 4, 2025 |website=Bloomberg}} In May 2023, I Squared acquired Rentco Transport Equipment Rentals, an Australian truck and trailer leading company.{{Cite web |last=Tan |first=Gillian |date=May 2, 2023 |title=I Squared Agrees to Acquire Australian Trailer Leaser Rentco |url=https://www.bloomberg.com/news/articles/2023-05-02/i-squared-said-to-acquire-australian-trailer-leaser-rentco |access-date=January 4, 2025 |website=Bloomberg}} In October 2023, I Squared Capital reached a deal with Deutsche Bahn to acquire UK transportation company Arriva.{{Cite news |date=October 19, 2023 |title=Arriva: Deutsche Bahn trennt sich von Auslandstochter |url=https://www.spiegel.de/wirtschaft/unternehmen/arriva-deutsche-bahn-trennt-sich-von-auslandstochter-a-1530bbc5-d449-4263-848d-9a0b85a8f5db |access-date=October 19, 2023 |work=Der Spiegel |language=de}} The transaction was completed in June 2024 following ratification of the deal by the European Commission.{{Cite web |last=Simmons |first=Mark |date=June 4, 2024 |title=DB completes sale of Arriva |url=https://www.railjournal.com/financial/db-completes-sale-of-arriva/ |archive-url=https://web.archive.org/web/20240604222821/https://www.railjournal.com/financial/db-completes-sale-of-arriva/ |archive-date=June 4, 2024 |access-date=January 4, 2025 |website=International Railway Journal}}

In January 2024, I Squared bought 49% of Órigo Energia, which is a Brazilian renewable energy company that builds and operates solar farms near cities.{{Cite web |last=Hirata |first=Taís |date=January 8, 2024 |title=I Squared buys 49% of Órigo Energia |url=https://valorinternational.globo.com/business/news/2024/01/08/i-squared-buys-49percent-of-origo-energia.ghtml |access-date=January 4, 2025 |website=Valor International |language=en}}

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