EU-backed infrastructure fund up for sale

AMSTERDAM (Reuters) - The state financiers of France, Germany and Italy have been speaking to investors about the sale of their 250 million euro EU-supported Galaxy infrastructure fund, two people familiar with the matter said.

Caisse des Depots (CDC), KfW and Cassa Depositi e Prestiti (CDP) are looking for an exit from the European fund in order to allocate resources for other initiatives, such as the 2020 fund for energy, climate change and infrastructure, sources said.

"We are evaluating strategic options on how to further proceed with the fund and its current portfolio," a KfW spokeswoman said. A CDP official also said they were considering options with regard to the fund's assets. CDC declined comment.

The European Commission and the European Investment Bank have also invested in the fund, which focuses on transport assets and aims for a 15 percent return on its equity stakes. Its investment period ended in 2008.

Among Galaxy's airport investments are stakes in Exeter Airport in Britain and Sienna Airport in France, while it also has stakes in a UK tram project and an Australian ports operator.

HSBC (HSBA.L) is advising Galaxy's shareholders on the sale, sources said.

(Additional reporting by Danilo Masoni in Milan, editing by Will Waterman)