At a time when interest rates are low, investors are now seeking to invest in European infrastructure to get higher returns. However, the assets are scarce, according to a Reuters report.
sovereign wealth funds
An article published by the New York Times said that the Versace deal may not please investors. Versace valued itself at over EUR1 billion (USD1.36 billion), which is 14 times its current-year EBITDA at EUR70 million.
Royal Mail shares, criticized to be valued too low, had netted hefty profits for its investors.
Sovereign wealth funds put their bets on alternative assets to enhance returns.
JPMorgan Asset Management Inc. said that Africa is experiencing a strong growth over its sovereign wealth funds worldwide.