Key facts
- Amber Infrastructure and Dragon Capital launched the Amber Dragon Infrastructure Fund, the first dedicated to infrastructure in Ukraine.
- The fund has raised $240 million for projects focused on emergency power, digital services, and transportation.
- The fund will also support the rebuilding of basic infrastructure like power, roads, and communications.
- Amber Infrastructure and Dragon Capital will manage the EU Ukraine Flagship Fund, which has raised roughly 260 million euros.
- The investment strategy prioritizes new, updated infrastructure over rebuilding outdated facilities.
Amber Infrastructure and Dragon Capital have launched the Amber Dragon Infrastructure Fund, a new initiative aimed at investing in Ukraine's infrastructure despite the ongoing conflict. The fund, which is reportedly the first of its kind dedicated specifically to Ukraine's infrastructure needs, has secured $240 million in its first full funding round. The capital will be directed towards projects designed to maintain essential services during emergencies, enhance internet and digital capabilities, and streamline shipping and transportation logistics. Additionally, the fund will contribute to the broader reconstruction efforts by upgrading fundamental infrastructure such as power grids, roads, and communication networks. Dominykas Tuckus, managing director at Amber Infrastructure, emphasized that the focus will be on building new, modernized infrastructure rather than attempting to restore outdated facilities. The firms are also set to manage the EU Ukraine Flagship Fund, which has raised approximately 260 million euros to date. Tuckus explained that investing in infrastructure is a long-term strategy, and initiating the process during the war is a deliberate approach to be prepared for post-conflict opportunities, noting that starting after the war would be too late. He also highlighted the unique challenges of investing in immovable infrastructure assets during wartime but expressed confidence in their partnership with Dragon Capital and their ability to navigate the complexities of the Ukrainian market.