Legal & General (L&G) has announced the first close of its new Digital Infrastructure Fund (LDIF), securing approximately €600 million in commitments and co-investments. The fund marks a major step in L&G’s strategy to expand its private markets platform and respond to the growing demand for digital infrastructure across Europe and the UK.

LDIF is structured as an Article 8 Luxembourg-domiciled fund and has attracted commitments from a range of institutional investors, including local government pension schemes, specialist infrastructure funds, and L&G’s own capital. A second close is anticipated later this year.

The fund will focus its investments on European and UK digital infrastructure, including data centres, fibre networks, wireless connectivity, and cloud services, with selective exposure to global opportunities, primarily in the United States. LDIF targets a gross internal rate of return (IRR) of 15 percent by investing in high-quality, productive businesses and assets that advance digital transformation and connectivity.

L&G highlights an estimated €2.5 trillion funding gap for digital infrastructure by 2030, underscoring the urgent need for resilient and future-proof connectivity to support emerging technologies such as artificial intelligence, cloud computing, and data sovereignty.

The fund builds on L&G’s established track record in infrastructure investment, following the €607 million close of the L&G NTR Clean Power (Europe) Fund, which focused on renewable energy assets. Together, these initiatives reflect L&G’s commitment to supporting both the digital transition and the energy transition, two areas of critical importance to modern economies.

The launch of LDIF supports L&G’s broader ambition to scale its private markets platform to £85 billion by 2028, responding to rising institutional investor appetite for sustainable, yield-generating assets in digital infrastructure and clean energy.