Veselina Petrova of Renewables Now reports Elia, CPP Investments buy 1.8-GW North Sea grid link project from CIP:

Belgian transmission system operator Elia Group SA (EBR:ELI) and Canada Pension Plan Investment Board (CPP Investments) said today they have acquired the 1.8-GW Tarchon, a subsea interconnector project planned to link Germany and the UK to allow the countries to share surplus clean electricity.

The project will be bought from Copenhagen Infrastructure V, a fund managed by Denmark’s Copenhagen Infrastructure Partners (CIP). Specifically, CPP Investments will buy a majority stake in the project, spending CAD 1 billion (USD 709.7m/EUR 622.5m) on a 75% ownership, while Elia will own the remaining 25%. The Belgian company will acquire minority holding through its WindGrid subsidiary, which invests in electricity transmission and offshore wind grid infrastructure.

The new asset will extend CPP Investments’ commitment to invest in developing European energy infrastructure and support Elia’s core regulated transmission activities. The deal is pending regulatory clearance and is expected to close by end-2026.

Tarchon will be a high-voltage direct current (HVDC) link consisting of an underground and subsea cable network with a length of around 760 kilometres (472 miles), stretching between Germany and East Anglia in the North Sea. The facility will connect the two countries’ energy markets and help enhance the security and reliability of their electrical systems. The power to be transmitted through the grid link will help supply up to 1.9 million households.

The interconnector project is still in an early development phase and its exact route in the UK, Germany and Dutch territorial waters is yet to be determined. 

Nadja Skopljak of offshore Energy also reports the 760-kilometer UK-Germany interconnector gets new owners, construction start expected in 2030:

Canada Pension Plan Investment Board (CPP Investments) and Elia Group, through its international development platform WindGrid, have acquired a subsea interconnector project that will link the UK and Germany from Copenhagen Infrastructure V, managed by Copenhagen Infrastructure Partners (CIP).

Approved by Great Britain’s energy market regulator Ofgem in 2024, the Tarchon interconnector will be approximately 760 kilometers long, connecting East Anglia and Niederlangen, Germany, and will deliver up to 1.4 GW of electricity capacity.

As a regulated asset, the project is progressing through the relevant regulatory approvals process in the UK and Germany.

“We are delighted to be partnering with Elia Group on the development of the Tarchon interconnector. This acquisition is rooted in a shared commitment to long-term value creation and responsible infrastructure development,” said James Bryce, Head of Infrastructure at CPP Investments.

“By combining CPP Investments’ global investment capabilities with Elia Group’s proven expertise in designing, building and operating complex transmission systems, the partnership is well positioned to deliver a project such as Tarchon, while also allowing us to generate strong risk-adjusted returns for CPP contributors and beneficiaries.”

CPP Investments will provide a C$1 billion commitment for a majority stake in the project, while Elia Group’s investment through WindGrid is structured as a minority participation, representing a 25% look-through stake, and remains limited in scale relative to the group’s overall investment program, consistent with its disciplined financial policy.

The transaction is expected to be completed by the end of 2026, subject to regulatory and closing conditions. 

The earliest start date for the construction of the link in the UK is 2030, with commercial operations targeted for 2034.

“Tarchon is an important project for WindGrid and reflects our partnership-led approach to supporting selected transmission infrastructure opportunities that are complementary to Elia Group’s core regulated activities. As electrification progresses and power systems become increasingly interconnected, well-developed cross-border infrastructure will remain important for the energy transition,” said Daniela Baratto, CEO of WindGrid.  

Earlier today, CPP Investments issued a press release stating it is expanding its partnership with Elia Group by acquiring the Tarchon interconnector project from Denmark’s Copenhagen Infrastructure Partners:

TORONTO, Canada / BRUSSELS, Belgium (July 29, 2026, 1:00 a.m. EDT / 7:00 a.m. CEST) – Canada Pension Plan Investment Board (“CPP Investments”) and Elia Group, through its international development platform WindGrid today announce the acquisition of Tarchon, a subsea interconnector project between Germany and the UK, from Copenhagen Infrastructure V (managed by Copenhagen Infrastructure Partners). The investment is being made by CPP Investments alongside WindGrid to extend CPP Investments’ ongoing commitment to invest in developing European energy infrastructure while complementing Elia Group’s core regulated transmission activities.

The partnership reflects the continued evolution of a trusted and well-established collaboration between CPP Investments and Elia Group, built on a strong alignment of interests, complementary capabilities, and a shared long-term perspective.

At a time when the energy transition requires significant investment in grid infrastructure, projects such as the Tarchon interconnector will contribute to a more resilient and interconnected European power system. Tarchon will provide a 1.4 GW high-voltage direct current (HVDC) link between the United Kingdom and Germany, that will strengthen cross-border electricity flows, enhance security of supply, and enable the efficient integration of renewable energy across markets, supporting the long-term decarbonisation of both systems. As a regulated asset, the project is progressing through the relevant regulatory approvals process in the UK and Germany.

CPP Investments will provide a C$1 billion commitment for a majority stake in the project. Elia Group’s investment through WindGrid is structured as a minority participation, representing a 25% look through stake, and remains limited in scale relative to Elia Group’s overall investment programme, consistent with its disciplined financial policy.

James Bryce, Head of Infrastructure, CPP Investments: “We are delighted to be partnering with Elia Group on the development of the Tarchon interconnector. This acquisition is rooted in a shared commitment to long-term value creation and responsible infrastructure development. By combining CPP Investments’ global investment capabilities with Elia Group’s proven expertise in designing, building and operating complex transmission systems, the partnership is well positioned to deliver a project such as Tarchon, while also allowing us to generate strong risk-adjusted returns for CPP contributors and beneficiaries.”

Bernard Gustin, CEO Elia Group: “By enabling more efficient energy exchange between regions, the Tarchon interconnector project contributes to balancing supply and demand, while supporting the decarbonisation of energy systems. The project also reflects the strength of the partnership between Elia Group and CPP Investments in advancing energy infrastructure, highlighting the continued importance of cross-border projects in building a more integrated, resilient and sustainable European grid.”

Daniela Baratto, CEO WindGrid: “Tarchon is an important project for WindGrid and reflects our partnership-led approach to supporting selected transmission infrastructure opportunities that are complementary to Elia Group’s core regulated activities. As electrification progresses and power systems become increasingly interconnected, well-developed cross-border infrastructure will remain important for the energy transition.”

The transaction is expected to be completed by the end of 2026 subject to regulatory and closing conditions.

About CPP Investments

Canada Pension Plan Investment Board (CPP Investments™) is a professional investment management organization that manages the Canada Pension Plan Fund in the best interest of the more than 22 million contributors and beneficiaries. In order to build diversified portfolios of assets, we make investments around the world in public equities, private equities, real estate, infrastructure and fixed income. Headquartered in Toronto, with offices in Hong Kong, London, Mumbai, New York City, São Paulo and Sydney, CPP Investments is governed and managed independently of the Canada Pension Plan and at arm’s length from governments. At March 31, 2026, the Fund totaled C$793.3 billion. For more information, please visit www.cppinvestments.com or follow us on LinkedIn, Instagram or on X @CPPInvestments.

About Elia Group

Elia Group is an international electricity transmission group acting as a catalyst for the energy transition. As a stocklisted company employing more than 4,500 people globally, we ensure that power systems evolve in line with society’s and industry’s needs. Through our entities Elia Transmission Belgium, 50Hertz (Germany), Elia Grid International (EGI) and WindGrid, we design, build, operate electricity systems and provide expertise to make electricity accessible, reliable and affordable for society. Operating more than 19,600 km of high-voltage grids across Belgium and Germany, the Group plays a key role in Europe’s energy backbone, supporting electrification, strengthening cross border exchanges and accelerating the transition to a more decarbonised society.

We bring power, today and tomorrow.

About WindGrid

WindGrid is a leading developer of cross-border and offshore grids, powering the energy system of tomorrow. As part of the Elia Group, we develop, invest in and operate transmission assets that connect renewable energy sources to key markets and demand centres.

By combining a developer’s mindset with industry-leading transmission expertise, we help strengthen energy security, accelerate renewable energy integration and enable a more resilient and interconnected energy system. 

Energy is a very important theme for CPP Investments and I'm talking about energy at large (not just renewables).

Why is this deal important? From a simple Google search: 

Cross-border interconnectors are essential for Germany's energy transition, enabling renewable integration with neighboring countries and balancing demand to lower system costs. Policy frameworks aim for significant increases in interconnection capacity to optimize the European market, alongside the expansion of internal HVDC corridors. Read more from Agora Energiewende regarding the integration of the Nordic and German electricity systems here.

Clearly, interconnectors are essential for Germany's growing electricity needs and energy transition, as well as the UK's and other neighbouring countries.

The Tarchon subsea interconnector project and other similar projects will play an integral role in this energy transition.

This is a smart way to invest in the future energy needs of Europe, one that will deliver consistent, inflation-adjusted cash flows once this project is operational in 2034.

That is why CPP Investments is providing a substantial C$1 billion commitment for a majority stake in the project (75%).

Partnering up with Elia Group will allow them to have a partner with in-depth operational expertise via its Windgrid subsidiary.

On LinkedIn, CPP Investments posted this:

We’re committing C$1 billion alongside Elia Group and WindGrid to invest in Tarchon, a 1.4 GW subsea high-voltage interconnector project between Germany and the UK. The partnership reflects the continued evolution of a trusted and well-established collaboration between CPP Investments and Elia Group, built on a strong alignment of interests, complementary capabilities, and a shared long-term perspective. Tarchon will provide a 1.4 GW high-voltage direct current link between the United Kingdom and Germany, that will strengthen cross-border electricity flows, enhance security of supply, and enable the efficient integration of renewable energy across markets, supporting the long-term decarbonisation of both systems. 

Again, this project will take time to develop and is a long-term investment, but by getting in there early with a strategic partner, CPP Investments will reap great long-term returns. 

This may be the first greenfield infrastructure project CPP Investments has invested in (not pure greenfield, as CIP got the project off the ground, but they definitely don't do these types of projects often, that's for sure).

And that also speaks volumes about this deal.

Below, at the heart of Europe, Germany has the advantage of being able to source electricity from its many neighbors. That's why construction is underway on the next generation of interconnectors, which is creating lots of business opportunities. 

Watch this clip, it's obvious that interconnectors are quickly becoming the cornerstone of the EU's energy policy and by 2050, many of these projects will be operational, providing energy and allowing countries to realize on their net zero targets.

Jack Gray of European Pensions reports Ontario Teachers’ Pension Plan to invest up to €200m in M&G’s CLO platform:

Ontario Teachers’ Pension Plan has entered into a joint venture with M&G Investments to support the scaling of its European collateralised loan obligation (CLO) platform.

The scheme has agreed to provide investment capacity of up to €200m for equity investments in future M&G Margay CLO issuances, and to participate in the long-term economics of M&G’s European CLO business and support the growth of the platform.

M&G said the investment would support its operations in European private assets for global institutional investors.

Through the combination of M&G’s credit research and investment capabilities in European broadly syndicated loans with Ontario Teachers’ institutional CLO investment experience and capital, the collaboration will look to support platform growth while providing strong returns.

The capital will be deployed on an investment-by-investment basis in accordance with the agreed investment framework.

M&G’s Margay platform is led by head of private corporate credit, Fiona Hagdrup, and manages €1.6bn of CLO assets.

“The European CLO market continues to offer compelling opportunities for long-term investors, supported by a large and diverse pool of underlying senior loans,” said Hagdrup.

“While market conditions may evolve, a disciplined, selective approach to credit remains key.

“Our focus on fundamental analysis, ESG risk mitigation, relative value and portfolio construction positions us well to navigate different phases of the cycle and deliver resilient outcomes.”

Ontario Teachers’ Pension Plan senior managing director, credit, Michael Merkoulovitch, added: “M&G is a valued partner to Ontario Teachers’ within the structured credit space. We share a common investment philosophy and disciplined approach to risk.

“We believe the European CLO equity market is an attractive asset class that complements and diversifies our existing CLO equity programme and are pleased to expand our relationship with M&G.

“With a strong alignment of interest and shared conviction in the opportunity, we look forward to working closely with M&G to grow Margay into one of Europe's leading CLO platforms." 

Ellie Duncan of Alternative Credit Investor also reports M&G forms Ontario Teachers’ Pension Plan JV to grow CLO platform:

M&G Investments has formed a joint venture with Ontario Teachers’ Pension Plan to scale its European collateralised loan obligation (CLO) platform, Margay.

The $279.4bn (£210.1bn) defined benefit pension scheme has agreed to provide investment capacity of up to €200m (£171m) for equity investments in future M&G Margay CLO issuances, and to participate in the long-term economics of M&G’s European CLO business and support the platform’s continued growth.

The joint venture aims to support “disciplined” platform growth, while delivering attractive risk-adjusted returns across market cycles, with capital to be deployed on an investment-by-investment basis, in accordance with the agreed investment framework.

M&G’s €27bn structured and private credit platform includes the Margay CLO programme.

Launched in 2023, M&G’s Margay CLO platform is led by head of private corporate credit, Fiona Hagdrup, and manages €1.6bn of CLO assets within a broader €10bn loan platform.

Hagdrup said the European CLO market continues to offer “compelling opportunities” for long-term investors, supported by a large and diverse pool of underlying senior loans.

The CLO platform has also benefitted from capital from M&G’s Life business, which has invested more than £1bn in structured credit strategies over time.

“Our European platform is underpinned by disciplined credit selection and a long-term investment approach,” said James King, head of private and structured credit at M&G Investments. “Access to aligned long-term capital and the expertise of Ontario Teachers’ provides a strong foundation to scale the Margay programme over time, broadening our investor base and enabling us to deploy into opportunities as they arise, while continuing to deliver attractive risk-adjusted returns for our clients.”

“We believe the European CLO equity market is an attractive asset class that complements and diversifies our existing CLO equity programme and are pleased to expand our relationship with M&G,” added Michael Merkoulovitch, senior managing director, credit at Ontario Teachers’ Pension Plan. “With a strong alignment of interest and shared conviction in the opportunity, we look forward to working closely with M&G to grow Margay into one of Europe’s leading CLO platforms.” 

On Monday, OTPP issued a press release stating it has partnered with M&G Investments (M&G), announcing a €200 million strategic investment in a CLO platform:

London, 27th July 2026: M&G Investments (M&G) and Ontario Teachers’ Pension Plan (Ontario Teachers’) - a leading global institutional investor - have agreed to a joint venture to support the scaling of a multi-billion European collateralised loan obligation (CLO) platform. The investment supports M&G’s ambition to be a leader in European private assets for institutional investors globally through its €93 billion Private Markets business¹.

Ontario Teachers’ has agreed to provide investment capacity of up to €200 million for equity investments in future M&G Margay CLO issuances as well as participate in the long-term economics of M&G’s European CLO business and support the continued growth of the platform.

By combining M&G's track record, in-house credit research and investment expertise in European broadly syndicated loans with Ontario Teachers’ institutional CLO investment experience and capital, the joint venture will support disciplined platform growth while delivering attractive risk-adjusted returns across market cycles. Capital will be deployed on an investment-by-investment basis in accordance with the agreed investment framework.

M&G has a 25-year track record investing in structured and private credit with a platform that has grown to €27 billion, which includes the Margay CLO programme. M&G’s Margay platform is led by Head of Private Corporate Credit, Fiona Hagdrup, supported by a team with extensive experience in European corporate credit and structured finance. It currently manages €1.6 billion of CLO assets within a broader €10 billion loan platform, complemented by M&G’s wider structured credit capabilities. The platform also benefits from capital from M&G’s Life business, which has invested more than £1 billion in structured credit strategies over time.

James King, Head of Private & Structured Credit at M&G Investments, said:

“This investment reflects the strength of our approach and track record in CLOs across market cycles. Our European platform is underpinned by disciplined credit selection and a long-term investment approach. Access to aligned long-term capital and the expertise of Ontario Teachers’ provides a strong foundation to scale the Margay programme over time, broadening our investor base and enabling us to deploy into opportunities as they arise, while continuing to deliver attractive risk-adjusted returns for our clients.”

Michael Merkoulovitch, Senior Managing Director, Credit, Ontario Teachers’ Pension Plan, said:

“M&G is a valued partner to Ontario Teachers’ within the structured credit space. We share a common investment philosophy and disciplined approach to risk. We believe the European CLO equity market is an attractive asset class that complements and diversifies our existing CLO equity programme and are pleased to expand our relationship with M&G. With a strong alignment of interest and shared conviction in the opportunity, we look forward to working closely with M&G to grow Margay into one of Europe's leading CLO platforms."

Fiona Hagdrup, Head of Private Corporate Credit at M&G Investments, said:

“The European CLO market continues to offer compelling opportunities for long-term investors, supported by a large and diverse pool of underlying senior loans. While market conditions may evolve, a disciplined, selective approach to credit remains key. Our focus on fundamental analysis, ESG risk mitigation, relative value and portfolio construction positions us well to navigate different phases of the cycle and deliver resilient outcomes.”

Note to editors: ¹M&G as of 31 March 2026

About M&G ’s Margay Platform
Launched in 2023 and with €1.6 billion currently in issue, M&G’s CLO platform, ‘Margay’, complements the firm’s nearly three decades in European corporate lending and Structured Credit. Margay delivers the same, conservative, fundamental approach that defines M&G, leaning on its deep resources and track record in fundamental credit and structured finance.  Attention to Environmental, Social and Governance risk mitigation - long part of the approach - has bolstered resilience. 

About M&G Investments
M&G Investments is part of M&G plc, a savings and investments company with £371 billion of assets under management (as at 31 March 2026). M&G plc has customers in the UK, Europe, the Americas and Asia, including individual savers and investors, life insurance policy holders and pension scheme members.  

For nearly nine decades M&G Investments has been helping its customers to prosper by putting investments to work, which in turn creates jobs, homes and vital infrastructure in the real economy. Its investment solutions span equities, fixed income, multi asset, cash, private debt, infrastructure and real estate.  

M&G plc recognises the importance of responsible investing, is a signatory (both as an asset manager and owner) to the UN-supported Principles for Responsible Investment (PRI), and is targeting net zero emissions by 2050, across our investment portfolios and operations. For more information, please visit: www.mandg.com

About Ontario Teachers’
Ontario Teachers' Pension Plan Board (Ontario Teachers') is a global investor with net assets of $279.4 billion as at December 31, 2025. Ontario Teachers’ is a fully funded defined benefit pension plan, and it invests in a broad array of asset classes to deliver retirement security for 346,000 working members and pensioners. For more information, visit otpp.com and follow us on LinkedIn. 

Basically, M&G Investments has established a joint venture with Ontario Teachers’ Pension Plan to support the scaling of a multi-billion-Euro CLO platform.

Launched in 2023, M&G’s Margay CLO platform is led by head of private corporate credit, Fiona Hagdrup, and manages €1.6bn of CLO assets within a broader €10bn loan platform.

Hagdrup said the European CLO market continues to offer “compelling opportunities” for long-term investors, supported by a large and diverse pool of underlying senior loans. 

Michael Merkoulovitch, Senior Managing Director, Credit, OTPP, clearly states why they are funding this joint venture:

“M&G is a valued partner to Ontario Teachers’ within the structured credit space. We share a common investment philosophy and disciplined approach to risk. We believe the European CLO equity market is an attractive asset class that complements and diversifies our existing CLO equity programme and are pleased to expand our relationship with M&G. With a strong alignment of interest and shared conviction in the opportunity, we look forward to working closely with M&G to grow Margay into one of Europe's leading CLO platforms."

For those of you who are not aware, European CLO issuance hit a record high in the first half of 2026 (see details here).  

Underpinning this soaring activity are higher rates and increased trade volatility. There are a huge number of refinancings and resets and the appetite for European CLOs is growing (see DB research here).

OTPP is backing M&G Investments' CLO platform because it trusts their capabilities in this area and their disciplined approach to risk. 

Fiona Hagdrup, Head of Private Corporate Credit at M&G Investments, featured at the top of this post, is impressive and knows her subject matter very well.  

In a 2025 interview with the Korea Economic Daily, she stated this:

With deal pipelines reopening and institutional demand remaining robust, Hagdrup sees the European broadly syndicated loan (BSL) market entering a phase of more balanced supply and demand.

“It’s more balanced than it was at the start of the year,” she said. “There is huge demand for broadly syndicated loans, given their lack of rate duration and significantly higher yield than public bonds.”

She pointed to the CLO, or collateralized loan obligation, market as a stabilizing force.

“With the pickup in issuance activity, supply and demand are settling down into an equilibrium,” she said.

“To some extent, the CLOs underpin the yield of the broadly syndicated loans, and their arbitrage needs demand that loans contribute, 4% plus over risk-free rates in their return.”

That dynamic, she added, helps preserve loan spreads and supports long-term value for institutional investors. 

She obviously knows what she's talking about, and now with OTPP as a partner, I'm confident this will be a highly successful joint venture to capitalize on opportunities in the European CLO market.

Below, John Kerschner and Matthew Bullock of Janus Henderson Investors discuss how CLOs combine diversification, liquidity and floating‑rate exposure. They highlight why active global management can be critical to achieving differentiated outcomes. 

Listen carefully as they demystify CLOs and explain in plain English their attraction to institutional investors looking to invest in a portfolio of high-quality securitized corporate loans. 

Vinny Vucago of FS Sustainability in Australia reports La Caisse backs GO.FARM in $330m farmland push:

Canadian institutional investor La Caisse has partnered with Australian agricultural investment manager GO. FARM to launch a $330 million investment platform targeting permanent horticulture assets, underscoring growing institutional demand for Australian farmland.

The partnership will see La Caisse commit $300 million in equity alongside a further $30 million investment from GO. FARM, while also taking a minority stake in the Melbourne-based manager.

La Caisse executive vice president and head of infrastructure and sustainability Emmanuel Jaclot said Australia remained an attractive destination for long-term agricultural investment.

"Australia combines world class agricultural resources, strong export markers and significant land transformation opportunities," Jaclot said.

"Through this partnership with GO. FARM, we are backing a proven operator with deep local expertise and a strong commitment to responsible agriculture. Together, we aim to build a diversified platform positioned to capture attractive opportunities across a sector that is becoming increasingly important to global food production."

Founded in 2013, GO.FARM manages approximately $1.6 billion in assets and specialises in developing underutilised land and water assets into institutional-grade permanent horticulture operations.

Founder and managing director Liam Lenghan said the partnership reflected increasing global appetite for agriculture as an institutional asset class.

"Our focus has always been on finding the opportunity, solving the challenges and executing the fundamentals well by building great teams and capability, back by data-driven insights and good science," Lenaghan said.

"This partnership is built on alignment, not just capital. As global institutions seek exposure to agriculture, access to investment-grade assets remains constrained."

The investment builds on La Caisse's growing sustainable land management presence in Australia and GO. FARM's existing institutional investor base, which includes Australian Retirement Trust, and comes as global investors increasingly allocate capital to food production, natural capital and climate resilient real assets. 

Last week, La Caisse issued a press release stating it has partnered with GO.FARM to launch AUD 330 million platform to invest in Australian permanent crops:

Global investment group La Caisse (formerly CDPQ) and Australian agricultural investment manager GO.FARM today announced a new strategic partnership to invest in high-value permanent horticulture in Australia.

Under the partnership, La Caisse will commit AUD 300 million in equity through a platform managed by GO.FARM, alongside an additional AUD 30 million commitment from its partner, for an initial total equity commitment of AUD 330 million. La Caisse will also become a minority shareholder in GO.FARM, reinforcing the long-term alignment between the two organizations.

Founded in 2013 by Liam Lenaghan, GO.FARM manages approximately AUD 1.6 billion in assets with a focus on transforming underutilised land and water assets into high-performing, investment-grade agricultural operations, particularly in large-scale permanent horticulture, with a focus on water efficiency, climate-smart systems and critical infrastructure.

La Caisse selected GO.FARM for its approach to responsible agriculture, operational capabilities and ability to originate, develop and operate agricultural assets on the ground. The partnership will focus on building a diversified portfolio of Australian irrigated permanent crops, leveraging the country's distinctive long-term investment opportunity in agriculture and its significant land transformation potential.

Emmanuel Jaclot, Executive Vice-President and Head of Infrastructure and Sustainability at La Caisse, said: “Australia combines world-class agricultural resources, strong export markets and significant land transformation opportunities. Through this partnership with GO.FARM, we are backing a proven operator with deep local expertise and a strong commitment to responsible agriculture. Together, we aim to build a diversified platform positioned to capture attractive opportunities across a sector that is becoming increasingly important to global food production.” 

Liam Lenaghan, Founder and Managing Director of GO.FARM, said: “Our focus has always been on finding the opportunity, solving the challenges and executing the fundamentals well by building great teams and capability, backed by data-driven insights and good science. This partnership is built on alignment, not just capital. As global institutions seek exposure to agriculture, access to investment-grade assets remains constrained. This mandate reflects the growing maturity of Australian agriculture as an institutional asset class, and marks a positive moment for both GO.FARM and the sector.”

This partnership builds on La Caisse’s growing sustainable land management presence in Australia and on GO.FARM’s existing relationships with domestic institutional investors, including Australian Retirement Trust, alongside long-standing support from Australian family offices and high-net-worth investors. It also comes at a time when global institutions are increasing their focus on real assets linked to food production, natural capital and climate resilience. In this context, the partnership reflects a shared ambition to continue developing high-quality agricultural investment platforms in Australia over the long term.

ABOUT LA CAISSE

For more than 60 years, La Caisse has invested with a dual mandate: generate optimal long-term returns for its 48 depositors, who represent over six million Quebecers, while contributing to Québec’s economic development.

As a global investment group, La Caisse is active in major financial markets, private equity, infrastructure, real estate and private credit. As at December 31, 2025, its net assets totalled CAD 517 billion. Learn more at LaCaisse.com, LinkedIn and Instagram.

 La Caisse is a registered trademark of Caisse de dépôt et placement du Québec that is protected in Canada and other jurisdictions and licensed for use by its subsidiaries.

ABOUT GO.FARM

GO.FARM is a leading Australian agricultural investment and development firm, having managed over 96,000 hectares of farmland and 129,000 megalitres of water across New South Wales, Victoria, and Tasmania, with approx. $1.6B of assets under management. The company focuses on transforming underutilised agricultural land into productive, sustainable, and high-value assets. GO.FARM is committed to delivering strong financial returns for its investors, while enhancing the social and environmental fabric of its regional communities.

This is an excellent partnership for La Caisse in Australia to develop a platform focused on investing in high-value permanent horticulture in Australia.

GO.FARM is a leading Australian agricultural investment and development firm and this partnership will allow La Caisse to bolster its presence in Australia's burgeoning farmland industry.

You can read their story here to understand more about them:

We identify underutilised and undercapitalised Australian agricultural assets and transform them to highest and best use. Our expertise lies in landuse change, asset reconfiguration and investment in people, technology, productivity and sustainability. We have successfully executed strategies across greenfield developments, brownfield reversions, rainfed and irrigated farming systems, annual crops and permanent plantings across multiple geographies. 

As stated above, the investment builds on La Caisse's growing sustainable land management presence in Australia and GO. FARM's existing institutional investor base, which includes Australian Retirement Trust, and comes as global investors increasingly allocate capital to food production, natural capital and climate resilient real assets.  

Sustainable land management is a big part of La Caisse's sustainable investing approach.

Recall, last year, La Caisse invested US$200 million in QIC-backed Renewa to accelerate funding of land under clean energy infrastructure (see details here).

With this deal, the focus shifts to Australia where opportunities for investing in agricultural land are plentiful if you partner up with the right group. 

GO.Farms specializes in transforming underutilized agricultural land into productive, sustainable, and high-value assets. 

With this deal, la Caisse joins PSP Investments which has a huge presence in Australia's agricultural lands (a massive portfolio constructed one farm at a time) and OTPP which recently acquired a controlling interest in Mitolo Family Farms and also has a big Australian agribusiness portfolio. 

What is the attraction to Australia's farmland?  

Emmanuel Jaclot, EVP and head of Infrastructure and Sustainability at La Caisse summed it up well: "Australia combines world-class agricultural resources, strong export markets and significant land transformation opportunities."

Real assets like timberland and farmland offer unique cash flows that are inflation-hedged and are not as highly correlated to real estate and infrastructure. 

That, in a nutshell, is why these assets are attractive to institutional investors. 

In other related news, Investment Executive reports La Caisse and Cinven will acquire Optio Group:

Quebec investment manager La Caisse says it has partnered with international private equity firm Cinven to acquire U.K.-based Optio Group, a specialty insurance managing general agent platform.

Founded in 2018, Optio originates, underwrites and manages specialty risk on behalf of more than 60 third-party capacity providers.

Terms of the transaction were not disclosed.

Cinven and La Caisse say in a news release that they believe Optio represents a “compelling investment opportunity” based on several attractive characteristics.

Martin Longchamps, La Caisse’s executive vice-president and head of private equity and private credit, says Optio has a differentiated platform serving complex insurance markets, a strong European base and clear international growth potential.

The transaction is subject to regulatory approvals and other closing conditions. 

Cinven and La Caisse issued a press release stating they will jointly acquire leading specialty MGA platform, Optio:

International private equity firm, Cinven, together with global investment group, La Caisse (formerly CDPQ), today announce that they have reached an agreement to acquire Optio Group (‘Optio’ or 'the Company'), a leading specialty insurance Managing General Agent (‘MGA’) platform headquartered in the UK. Financial details of the transaction are not disclosed.

Founded in 2018 and headquartered in London, Optio originates, underwrites and manages specialty risk on behalf of more than 60 third-party capacity providers. The business underwrites a highly diversified portfolio of specialty risks across six business lines – Profession & Specialty, Transportation, Property & Energy, Healthcare, Transactional Liability, and Surety & Credit – spanning more than 30 products. The company has an established European core with an international footprint, comprising 18 offices across 15 countries spanning the UK, Europe, the US, the Middle East and Asia. A key point of differentiation for Optio is its strong track record of attracting and retaining high-calibre underwriting talent, which in turn drives its leading underwriting performance.

Cinven and La Caisse each have deep experience in the Specialty underwriting sub-sector and have both been tracking Optio for a long time. The Cinven team has known the company's management team for more than two years and, together with La Caisse, has built a strong relationship with management. Cinven and La Caisse believe Optio represents a compelling investment opportunity based on several attractive characteristics:

• Exposure to a structurally growing end-market: Specialty MGAs are expected to continue to outgrow the broader Property & Casualty insurance sector, supported by structural tailwinds including carriers' growing appetite for specialty risks and the continued migration of underwriting talent to MGA platforms like Optio;
• A high-quality, capital-light business model: Optio's portfolio of niche specialty risks is diversified by both product and geography and underpinned by a strong long-term track record of disciplined, low-loss-ratio underwriting;
• A proven track record of attracting and retaining leading underwriting talent: Optio’s underwriting capabilities combine deep sector expertise with a strong track record of high-quality execution, underpinning its position as an emerging leader in the sector as well as its long-tenured relationships across brokers and capacity provider networks;
• Significant opportunity for continued organic and inorganic growth: The business is well-positioned to accelerate its long-term growth trajectory through a combination of organic growth and by executing a pipeline of value accretive M&A opportunities in a highly fragmented market; and
• An exceptional management and leadership team led by CEO, Deepak Soni. 
   

This transaction builds on the Cinven Funds’ extensive expertise and long track record of investing in the specialty underwriting and broader financial services sector, including investments in Compre, Miller and Policy Expert. For La Caisse, the investment reflects a longstanding global focus on insurance and insurance-related platforms, with experience across Europe, North America and Australia.

Luigi Sbrozzi, Partner and Co-Head of the Strategic Funds at Cinven said: “Optio is a marquee opportunity in the MGA space, a financial services sub-sector where Cinven has deep expertise and a strong track record. Deepak and the wider management team have built a leading and differentiated home for specialty underwriting talent, and we are excited to partner with them as they continue to scale the business both organically and through further M&A. We are also delighted to be partnering with La Caisse on this transaction and look forward to working together to support Optio's next phase of growth.”

Martin Longchamps, Executive Vice-President and Head of Private Equity and Private Credit at La Caisse, added: “Specialty insurance is a market where technical underwriting expertise, disciplined risk selection and scale increasingly matter. Optio is well positioned in that environment, with a differentiated platform serving complex insurance markets, a strong European base and clear international growth potential. Our investment reflects La Caisse’s conviction in the long-term fundamentals of the sector, our experience across the insurance value chain, and our focus on backing high-quality businesses alongside sophisticated, like-minded partners.”

Deepak Soni, CEO of Optio, commented: “We are delighted to welcome Cinven and La Caisse as our partners as we embark on the next chapter of the Optio story. Over the past few years, with the support of Preservation Capital Partners, we have successfully built a diversified global platform through investment in our teams and the acquisition of high-quality specialist MGAs. Throughout this period, we have remained focused on delivering strong underwriting results for our insurer partners and outstanding service to our brokers. We are confident that, together with our new shareholder group, we will continue to build on these foundations, pursuing our growth strategy and expanding our capabilities while preserving the entrepreneurial culture and specialist expertise that define our business.”

The transaction is subject to customary regulatory approvals and other customary closing conditions.

ABOUT CINVEN

Cinven is a leading international private equity firm focused on building world-class global and European companies. Its funds invest in six key sectors: Business Services, Consumer, Financial Services, Healthcare, Industrials and Technology, Media and Telecommunications (TMT). Cinven has offices in London, New York, Frankfurt, Paris, Milan, Madrid and Luxembourg.

Cinven takes a responsible approach towards its portfolio companies, their employees, suppliers, local communities, the environment and society.

In this press release ‘Cinven’ means, depending on the context, any of or collectively, Cinven Holdings Guernsey Limited, Cinven Partnership LLP, and their respective Associates (as defined in the Companies Act 2006) and/or funds managed or advised by any of the foregoing.

For additional information on Cinven please visit www.cinven.com and www.linkedin.com/company/cinven/. 

This was a deal that Cinven brought to Martin Longchamps at la Caisse and his team rightly jumped at the opportunity to acquire Optio, co-investing alongside long-time partner Cinven.

If you read that press release carefully, no doubt about it, Cinven did its homework here, knows Optio's CEO Deepak Soni very well, and understands the company's MGA platform inside out.

I invite my readers to read more about the Optio Group here. They clearly have deep sector expertise:

Optio is a recognised leader in the specialist Managing General Agent (MGA) space, combining deep sector expertise with a progressive, technology-driven approach to underwriting. With a strong focus on niche and complex risks, Optio brings together a team of experienced professionals who deliver tailored solutions across a diverse portfolio, including professional indemnity, contingency, cyber, and more. Their agile structure, combined with robust data insight and underwriting discipline, enables them to respond quickly to market needs while maintaining strong capacity relationships. This positions Optio as a trusted partner for brokers seeking specialist coverage and consistent performance in a dynamic risk landscape. 

Now it's up to Cinven and La Caisse to help Optio grow during its next growth phase.

Alright, two big deals to cover from La Caisse on Monday that you should all be aware of.

Below, discover how GO.FARM is revolutionizing Australian agriculture with innovative and sustainable farming practices. From increasing productivity to reducing environmental impact, GO.FARM is at the forefront of transforming the future of farming. Learn about their advanced technologies, sustainable land management strategies, and commitment to building a greener tomorrow. 

When you partner up with the right people, extraordinary things can happen. This family seems very much in tune with sustainable farming and their love for it shines through below.  

Sean Conlon, Joseph Wilkins, Justina Lee, Lee Ying Shan and Fred Imbert of CNBC report the S&P 500 closes little changed Friday as Iran fears and chip sell-off weigh down market: 

The S&P 500 ended near flat on Friday, weighed down by chip stocks, as investors assessed the latest developments regarding the Middle East conflict.

The broad market index added just 0.05% and closed at 7,411.98 while the Nasdaq Composite dropped 0.64% to end at 24,975.82.The Dow Jones Industrial Average gained 235.60 points, or 0.46%, to settle at 51,947.25. A 3.5% jump in Apple boosted the blue-chip index.

Stocks had moved higher earlier in the session, while oil prices pulled back, after Reuters, citing three Pakistani sources, reported that Pakistan is ​considering a path toward establishing new peace negotiations between the U.S. and Iran, with the push being initiated by China. However, ​obstacles to discussions with the U.S. are still high, the sources said.

Earlier this week, U.S. President Donald Trump said he will soon make a decision on whether to launch a “massive attack” on Iran after the conflict in the Middle East extended to a new battleground in the Red Sea. Speaking to Axios, the president said the proposed strikes would be bigger than anything seen in the war so far, and that Iran has not “received enough pain yet.”

“I am considering a massive attack. Bigger than ever before. I am close to making a decision. We are all set for it,” Trump said in the interview.

The New York Times on Friday reported that Trump was meeting with top advisors and his cabinet’s senior members to make a decision on whether to escalate the U.S.′ attacks on Iran.

Oil prices came off their lows after the report. Brent crude futures — which topped $100 per barrel for the first time since late May this week — eased from those levels to settle at $96.78, dropping nearly 4%. U.S. West Texas Intermediate futures fell 3% to settle at $89.31 a barrel.

Traders seemed hesitant to stay long going into a weekend that could bring more aggressive attacks on Iran.

U.S. forces have pummeled Iranian targets over the past two weeks, with Central Command completing a 13th consecutive night of strikes overnight.

“What is going on in the Middle East has the potential to create real economic outcomes with respect to restriction of hydrocarbon flows and the absorption capabilities of the global economy to deal with that,” said Bill Northey, investment director at U.S. Bank Asset Management Group.

Though Northey director believes rates will remain unchanged next week in light of this week’s spike in oil, the investment director added, “Fed Chair Kevin Warsh has been very clear about returning the U.S. economy’s inflationary level to their target and use that as a choice, and we take him at his word.”

Intel shares fell nearly 8%, reversing course from earlier gains after the chipmaker’s second-quarter results exceeded Wall Street’s expectations. Other chipmakers slid alongside it, with Broadcom off 2.7% and Advanced Micro Devices down 3.3%. Micron Technology declined 7%, and the VanEck Semiconductor ETF (SMH) pulled back 3%.

“I think you’re just seeing a lot of outsized flows move in and out of that space on a day-to-day basis, but as we step back and look at where the powerful earnings growth is, where it exists in today’s environment and what’s driving ’26 and ’27 estimates, these are the primary beneficiaries,” Northey said.

“We just have to understand that there’s going to be some sentiment flows that occur in and around the space,” he continued.

The S&P 500 and the Nasdaq booked back-to-back weekly losses, falling 0.6% and 2.1%, respectively. The Dow declined 0.4% in the period, marking its third straight losing week.

Grace O'Donnell   and Jake Conley of Yahoo Finance also report the Nasdaq slips, Dow and S&P 500 recover to close a volatile week on Wall Street:

US stocks diverged on Friday as investors assessed a new set of global tariffs against a backdrop of AI jitters, rising oil prices, and elevated bond yields.

The Dow Jones Industrial Average (^DJI) rose roughly 0.5%, while the S&P 500 (^GSPC) inched above the flat line. The tech-heavy Nasdaq Composite (^IXIC) fell 0.6% as Wall Street stocks attempted to stabilize after a sharp sell-off on Thursday, led by megacap tech names.

All three major indexes posted weekly losses, led by a 2% decline for the Nasdaq over the past five days. 

Stocks faced a choppy week after the "Magnificent Seven" stocks collectively shed nearly $800 billion in market value on Thursday amid a sell-off sparked by ballooning AI spending. Shares in semiconductor giant Intel (INTC) fell nearly 8% on Friday as well despite the company's results blowing past Wall Street's expectations in the second quarter.

Overnight, President Trump's latest set of global tariffs targeting nearly all US imports went into effect. The new Section 301 tariffs, which the administration hopes will better withstand legal scrutiny, levy rates of 10% to 12.5% on the US's top trading partners.

The White House exempted some energy products from those tariffs as markets contend with higher oil prices that threaten to derail progress on inflation and ripple throughout the economy. That said, S&P Global's flash PMI showed that US business activity expanded at the fastest pace in eight months in July, boosted by the World Cup.

Offsetting some of the pressure on markets, oil prices fell on Friday, with Brent crude (BZ=F) futures down 4% to trade below $96 per barrel. But the international benchmark was set for a weekly gain after touching $100 per barrel.

On the corporate front, Verizon Communications (VZ), American Express (AXP), and NextEra Energy (NEE) reported earnings beats but missed estimates on revenue. 

The biggest story of the week was Tesla, Alphabet losing hundreds of billions in value in post-earnings stock plunge:

 

This didn’t help Mag-7 stocks this week. 

What else? SpaceX (SPCX) stock stumbled to a new all-time low ahead of a major mission test tonight, just as it gambles that Starship can take over for the company's lucrative Falcon launch business:

Again this week, we see how unforgiving this market is; anything momentum-related got clobbered while energy stocks took off on mounting tensions in the Middle East. 

And here are the US large-cap top and bottom performers this week (full list here):

 

Next week, more big tech earnings including semis which have been hit hard lately and a big Fed meeting where we will see if Chair Warsh raises rates.

Lastly, President Trump is having another tariff tantrum, hitting Canada and the EU. We shall see where this one goes.

Below, DoubleLine Deputy CIO Jeffrey Sherman joins CNBC’s Squawk on the Street to break down recent moves in U.S. Treasuries amid renewed tensions with Iran. Mr. Sherman argues the surprising strength in the long bond has less to do with oil and more to do with a broader overhang of fiscal deficits across the developed world, pointing to similar dynamics in the U.K., Germany and Japan. 

He sees the real inflation signal showing up on the front end of the curve instead, and he continues to favor short duration, particularly in securitized credit, where AAA paper offers a meaningfully wider spread over Treasuries than comparable corporate bonds.

On the FOMC, Sherman thinks the committee is probably biased toward a hike, but the timing is awkward given the approaching midterms. He sees the recent repricing in the bond market as effectively doing some of that work already, giving policymakers room to stay on hold and watch how the conflict evolves rather than being forced into a decision next week.

Also, Warren Pies, 3Fourteen Research, joins 'Closing Bell Overtime' to talk what's ahead for the markets and the Federal Reserve.

Third, Jeremy Siegel, Whartons School of Business and WisdomTree, joins 'Closing Bell' to talk what's ahead for the markets and the Federal Reserve.

lastly, Charles Bobrinskoy, vice chairman at Ariel Investments, joins 'Squawk on the Street' to discuss the latest market trends, his outlook for the markets, and more.

S&P Capital IQ reports Iberdrola Energía Internacional, S.A.U. reached an agreement to acquire 80% stake in Caruna Networks Oy from KKR & Co.and Ontario Teachers' Pension Plan Board for €2 billion:

Iberdrola Energía Internacional, S.A.U. reached an agreement to acquire 80% stake in Caruna Networks Oy from KKR & Co. Inc. (NYSE:KKR) and Ontario Teachers' Pension Plan Board for €2 billion on July 21, 2026. The valuation attributed to 100 % of the Caruna Group, in enterprise value terms, including net financial debt, is approximately €5 billion , and will entail a total approximate outlay by Iberdrola Energía Internacional for 80 % of its share capital of  €2.014 billion as the purchase price, comprising a payment of approximately €1.014 billion on the closing date of the Transaction and a deferred payment of approximately €1,000 billion, payable within the 30 months following closing, subject to the customary adjustments in transactions of this nature.

Under the transaction, KKR will divest its entire 40% ownership stake in Caruna, and Ontario Teachers' Pension Plan (OTPP) will also sell its shareholding (40%) in the company. Upon completion of the transaction, Iberdrola will become the majority owner of Caruna. The ownership stakes of pension insurance company Elo (7.5%) and AMF (12.5%) will remain unchanged. The ownership change will have no impact on Caruna's operations, customers, employees, partners, or ongoing investments. The company's business operations will continue as normal.

The transaction has been entered into on customary market terms and is subject to the conditions precedent typical of transactions of this nature, including, among others, obtaining third-party approvals and the relevant regulatory authorisations regarding foreign investments in Finland, foreign subsidies and merger control by the European Commission. The Transaction is expected to be completed by the end of 2026 or during the first quarter of 2027. The transaction is expected to be EPS-accretive on the first year.

On Tuesday, Ontario Teachers’ issued a press release stating it has reached an agreement to sell stake in Caruna to Iberdrola:

• Iberdrola has agreed to acquire majority ownership of Finland’s largest electricity distribution company Caruna, including the 40% shareholding of Ontario Teachers’

London, July 21, 2026: Ontario Teachers’ Pension Plan Board (Ontario Teachers’) today announced that it has reached an agreement to sell its 40% shareholding in Caruna, as part of a broader transaction that will see Iberdrola become the new majority shareholder for the business. The transaction values Caruna at around €5 billion, including its financial debt.

Caruna is Finland’s largest energy distribution company delivering around 12,000 GWh of electricity to over 740k customers in 80 cities and municipalities across the country. During the period of Ontario Teachers’ ownership, the key focus has been to support Caruna’s growth and strengthen the network, to improve resilience, drive security of supply and help support Finland’s energy transition.

James Adam, Senior Managing Director, Infrastructure at Ontario Teachers’ said: “We are proud to have been part of Caruna’s growth and development for the past five years. We would like to thank Matti Ruotsala, Jyrki Tammivuori and the Caruna team for their continued hard work in ensuring it delivers secure, reliable energy to its customers. We are confident that together with Iberdrola, Caruna will continue its success in its next chapter.”

The investment is subject to regulatory approvals and customary closing conditions.

About Ontario Teachers’
Ontario Teachers' Pension Plan Board (Ontario Teachers') is a global investor with net assets of $279.4 billion as of December 31, 2025. Ontario Teachers’ is a fully funded defined benefit pension plan, and it invests in a broad array of asset classes to deliver retirement security for 346,000 working members and pensioners. For more information, visit otpp.com and follow us on LinkedIn.  

It is also worth reading the press release Iberdrola issued on this deal: 

• Caruna serves one and a half million people –more than 20% of Finland’s population– and has 89,000 km of electricity distribution networks
• The transaction marks Iberdrola’s entry into Finland, a market with an AA+ credit rating, attractive regulation and strong growth prospects driven by electrification
• The deal, together with the recent divestment of thermal power plants in Mexico, reinforces the Group’s strategy of focusing its investments on electricity networks

Iberdrola has reached an agreement to acquire Caruna, Finland’s leading electricity distribution company, in a transaction valuing 100% of the company at around €5 billion, including its financial debt.

The transaction will involve a payment of €2 billion for 80% of the company’s equity, while Nordic pension funds AMF and Elo will retain their current 20% stake.

Caruna is the country’s largest electricity distribution operator and serves one and a half million people –more than 20% of the Finnish population–. The company has a network of approximately 89,000 kilometres, 67% of which is underground.

Caruna operates, through two distribution concessions, in the area surrounding central Helsinki and in the Joensuu region —with strong industrial activity and growing demand linked to new data centres, as well as residential developments— and in other areas of western and north-eastern Finland.

Network growth and new opportunities

The acquisition, together with the recent divestment of thermal power plants in Mexico, reinforces Iberdrola’s strategy of focusing its investments on the networks business in stable markets with attractive regulatory regimes: Finland has an AA+ credit rating and a regulatory framework in place until 2031 that offers a return on equity of around 8%.

The company is expected to increase its earnings and asset base by around 7% annually over the coming years, with annual investments of between €200 million and €300 million to reinforce and digitalise its electricity network in a context of strong growth in renewable capacity1.

These investments could increase in the future due to growing demand, the electrification of the economy, the expansion of data centres and the development of electricity transmission infrastructure, which Finnish regulation has allowed distribution companies to undertake since the beginning of 2026.

Completion of the acquisition is expected in the first quarter of 2027, subject to obtaining customary regulatory approvals for this type of transaction.

Iberdrola’s executive chairman, Ignacio Galán, said: “This transaction reinforces our strategic commitment to electricity networks as essential infrastructure for promoting energy security, self-sufficiency and competitiveness. Finland offers high credit quality and a predictable and attractive regulatory framework, while Caruna has strong growth prospects due to the need for networks linked to new renewable generation, rising demand from the industrial and residential sectors and the electrification of the economy”. 

I discussed OTPP's investment in Caruna, Finland’s largest electricity distribution company, back in March 2021. You can read that comment here. 

Caruna is an excellent asset that was previously owned by OMERS Infrastructure prior to being sold to KKR and OTPP.

Now Iberdrola has acquired a controlling stake and KKR and OTPP couldn't have found a better strategic to acquire their 80% interest in Caruna (40% each).

Just read Iberdrola's press release and you'll understand why it acquired this asset and how it fits in its "strategic commitment to electricity networks as essential infrastructure for promoting energy security, self-sufficiency and competitiveness."

OTPP and KKR are big investors in the grid and this asset fits well in their respective portfolios.

They sold their interest, realized a gain, and will now move on to their next investment. 

It demonstrates that you do not need to keep an infrastructure investment on your books forever. If the right buyer comes along, you sell it at the right price. 

Below, Iberdrola has given a new boost to its strategy to grow in the electricity networks business and has reached an agreement to acquire Caruna, Finland's main electricity distribution company, in a transaction that values 100% of the company at approximately €5 billion, including its financial debt, and allows the group to enter this business in the Nordic country, the energy company reported.

The second clip shows you why this Spanish giant was the best company to acquire Caruna. Well done.