India’s National Investment and Infrastructure Fund Limited (NIIFL) has closed its NIIF Master Fund at $2.3 billion, exceeding its target of $2.1 billion.
Besides, it is also set to launch the fundraising for its new vehicle — NIIF Strategic Opportunities Fund (SOF), which has a target size of $2.1 billion.
The fund marked the fifth and final close after receiving capital commitments worth $107 million from The Public Sector Pension Investment Board (PSP Investments), one of Canada’s largest pension investment managers, US International Development Finance Corporation (DFC), and existing investor Axis Bank, NIIFL said in a statement on Monday.
International investors have rights to co-invest an additional $3 billion alongside the fund. DFC and PSP will join the other investors of the Master Fund as shareholders of NIIF Ltd, the investment manager, the statement added.
“DFC’s investment will support the growth and development of a key partner in the Indo-Pacific and allow DFC to facilitate investment in strategic infrastructure projects throughout India,” said DFC chief executive officer, Adam Boehler.
Other investors in the fund include the government of India (GoI), Abu Dhabi Investment Authority (ADIA), AustralianSuper, CPP Investments, Ontario Teachers’ Pension Plan, Temasek, HDFC Group, ICICI Bank, and Kotak Mahindra Life Insurance.
Commenting on the new vehicle, Sujoy Bose, Managing Director and CEO, NIIF, said, “SOF will become one of the largest India-focused private equity funds, which will enable the fund to operate at a unique scale in sectors that offer significant growth opportunities.”
The NIIF Master Fund primarily invests in operating assets in core infrastructure sectors, primarily transportation and energy. The fund has anchored platforms in ports and logistics, renewable energy, smart meters and roads sectors.
NIIF Limited manages over $4.4 billion of equity capital commitments across its three funds — Master Fund, Fund of Funds, and Strategic Opportunities Fund.