CPPIB to invest $600 mn via NIIF

NIIF Master Fund now has $2.1 billion in commitments

December 05, 2019 10:21 pm | Updated 10:21 pm IST - MUMBAI

National Investment and Infrastructure Fund (NIIF) of India and Canada Pension Plan Investment Board (CPPIB) have agreed for CPPIB to invest up to $600 million through the NIIF Master Fund.

The agreement includes a commitment of $150 million in the NIIF Master Fund and co-investment rights of up to $450 million in future opportunities to invest alongside the NIIF Master Fund.

“With CPPIB’s investment, NIIF Master Fund now has $2.1 billion in commitments and has achieved its initially targeted fund size. In addition, NIIF Master Fund investors have co-investment rights of $3 billion, which will enable the NIIF Master Fund to invest at the scale required for India’s large infrastructure requirements.

The NIIF Master Fund invests equity capital in core infrastructure sectors in India, with a focus on transportation, energy and urban infrastructure,” said an NIIF statement.

Other investors in the Fund include Abu Dhabi Investment Authority, AustralianSuper, Ontario Teachers’ Pension Plan, Temasek, Axis Bank, HDFC Group, ICICI Bank and Kotak Mahindra Life Insurance.

Sujoy Bose, Managing Director and Chief ExecutiveOfficer, of NIIF, said, “We are delighted to welcome CPPIB as an investor in the NIIF Master Fund and as a shareholder in our investment management company. CPPIB is a prominent and established investor in India, and their investment demonstrates the alignment of the NIIF Master Fund’s investment strategy with what large international investors seek in the infrastructure sector in India.”

Scott Lawrence, MD, head of Infrastructure, CPPIB, said, “Through this investment, we are also able to deploy capital in additional projects and sectors, providing further long-term opportunities for CPPIB to invest in infrastructure in India.”

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