NIIF completes fund raise for $2.3 bn Master Fund in fifth and final round

PSP Investments, DFC of US, Axis Bank ink pact for $107 million cumulative commitment; International investors have rights to co-invest an additional $3 billion

National Investment and Infrastructure Fund Ltd (NIIF) has completed fund raising for its NIIF Master Fund, achieving a rupee equivalent size $2.34 billion.

The NIIF Master fund primarily invests in operating assets in core infrastructure sectors, primarily transportation and energy.

The Public Sector Pension Investment Board (PSP Investments) of Canada, US International Development Finance Corporation (DFC), and Axis Bank have inked pact for investments of about $107 million cumulatively with the NIIF Master Fund. International investors have rights to co-invest an additional $3 billion alongside the Fund.

These investments mark the fifth and Final Close of the NIIF Master Fund, NIIF said in a statement.

DFC and PSP will join the other investors of the Master Fund as shareholders of NIIF Ltd, the investment manager. DFC and PSP Investments join the Government of India (GoI), Abu Dhabi Investment Authority (ADIA), AustralianSuper, CPP Investments, Ontario Teachers’ Pension Plan, Temasek, HDFC Group, ICICI Bank, among others.

The master fund is positioned to invest at scale in large infrastructure projects that are strategic and crucial for the development of the country. The fund has anchored platforms in ports and logistics, renewable energy, smart meters and roads sectors.

Patrick Samson, Senior Managing Director and Global Head of Infrastructure Investments, PSP Investments, said, PSP continues to grow and strengthen partnership with NIIF alongside transportation platforms, ROADIS and AviAlliance, to support the economic growth of the country.

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.

National Investment and Infrastructure Fund Limited (NIIFL) is a collaborative investment platform for international and Indian investors, anchored by the Government of India.