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Charting a New Path in Private Equity with AI Infrastructure Partners

Private equity firms are rarely built from scratch. At AI Infrastructure Partners (AIIP), we’re systematically charting a course to become the dominant force in AI infrastructure-focused private equity. With a methodical approach and a clear vision, we are poised to redefine this space while capitalizing on the exponential growth of AI-enabling technologies. 

Our Mission and Current Focus 

Having launched our inaugural fund, AIIP Fund, LP, we are committed to building a robust platform for growth and value creation. Guided by four key priorities, we are laying the foundation for long-term success: 

1️⃣ Securing Capital Commitments 
Raising capital as a first-time fund manager requires focus and precision. We are executing a “barbell strategy”: leveraging our professional networks on one end while engaging institutions with specific mandates to back first-time funds on the other. Institutions with a preference for industry specialists and lower-middle-market opportunities align well with our focus. 

Our target fund size is $75M–$100M, with a cap of $145M. This flexible structure allows us to adapt to investor demand while maintaining disciplined portfolio construction. With an anchor investor, we aim for a single close in early 2025, positioning us to deploy capital quickly and focus on scaling portfolio companies. 

2️⃣ Executing Investments 
AIIP’s investment thesis revolves around acquiring growth and buyout opportunities in the AI infrastructure ecosystem. This includes semiconductor manufacturing, data center infrastructure, energy infrastructure, AI-enabling hardware, and specialized service providers. 

As of now, we are under letters of intent (LOIs) with two companies and actively pursuing two additional opportunities that may involve co-investors. Our diligence process is thorough, leveraging our deep expertise and advisory board insights to ensure alignment with our investment strategy. 

3️⃣ Building a World-Class GP Advisory Board 
A hallmark of our approach is the integration of a high-caliber advisory board. Comprised of seasoned professionals, this board brings diverse perspectives to enhance our decision-making and strategic execution. Their expertise complements our leadership team and strengthens our ability to navigate complex investments in a rapidly evolving market. 

4️⃣ Scaling Our Leadership Team 
At AIIP, we recognize that exceptional leadership is critical to building a world-class private equity business. Our Managing Partners, Jason Frank and Bill Woodruff, bring over two decades of experience in investment management and AI infrastructure. 

Jason’s leadership in scaling HIS Innovations Group from $11M to $75M in annual revenue is a testament to our ability to drive transformative growth. Similarly, Bill’s success in scaling both Bandon and WealthFactor past $100M and his involvement in Farther Finance’s assets growth from under $200M to over $5B showcases our strategic acumen and operational excellence. As we grow, we aim to recruit senior leaders across key areas, including investments, portfolio management, and business development.   

Our Sector Focus and Strategy 

AIIP is uniquely positioned to capitalize on the explosive growth in AI infrastructure. The sector is at an inflection point, driven by robust demand for advanced computing, semiconductors, and energy-efficient technologies. High-profile transactions, such as BlackRock and Microsoft’s $30B AI infrastructure fund, underscore the scale and opportunity within this space. 

Our strategy emphasizes targeted investments in companies with strong fundamentals and scalable business models. We aim to construct a concentrated portfolio of 5–8 companies, deploying equity checks between $5M–$20M. This approach balances focused engagement with strategic diversification. Our portfolio construction leverages co-investment partnerships to broaden exposure while maintaining a hands-on management approach. 

Vision for the Future 

Our immediate goal is to complete the first fundraise and execute our initial investments, paving the way for scaling our portfolio companies. Beyond Fund I, we envision launching a second fund targeting up to $500M, backed by a proven track record and strong investor relationships. Our long-term vision includes creating an enduring private equity platform that delivers outsized returns by focusing on AI infrastructure—a sector poised for sustained growth. 

We are excited about the road ahead and remain committed to systematic execution, bold aspirations, and fostering innovation. AIIP is more than a private equity firm; it is a transformative force driving value in the AI ecosystem.