CPPIB investing through India infrastructure fund
BY Staff | December 6, 2019
The Canada Pension Plan Investment Board is investing up to US$600 million through India’s National Investment and Infrastructure Fund’s master fund.
The agreement commits the CPPIB to investing US$150 million in the master fund, with the option to co-invest up to US$450 million in future opportunities alongside the fund.
With this move, the CPPIB joins other institutional investors, including the Ontario Teachers’ Pension Plan and AustralianSuper, as an investor in the fund.
The CPPIB is also set to become a shareholder in India’s National Investment and Infrastructure Fund Ltd., the NIIF’s investment management company.
The fundraising aims to give India the scale of capital necessary to take on major infrastructure projects, with the master fund focusing on transportation, energy and urban initiatives. With the CPPIB’s new investment, the fund now reaches US$2.1 billion, with another US$3 billion in potential co-investment agreements.
“The opportunity to invest in, and alongside, NIIF complements our existing direct investment strategy in Indian infrastructure,” said Scott Lawrence, managing director and head of infrastructure at the CPPIB, in a press release. “Through this investment in the NIIF Master Fund, we are also able to deploy capital in additional projects and sectors across the country, providing further long-term opportunities for CPPIB to invest in infrastructure in India.”
In other investment news, Silvercode Investments Socimi, of which the Public Sector Pension Investment Board is a shareholder, has completed the sale of a mixed-use real estate complex in Madrid to Allianz Real Estate.
The Madrid complex, Castellana 200, combines offices, retail and parking, spanning 41,000 square metres.
“The acquisition of Castellana 200 gives Allianz Real Estate access to a commercially significant building,” said Miguel Torres, head of Iberia for Allianz Real Estate, in a press release. “It underscores our focus on centrally located core assets and our strategy for additional deals in Iberia, one of Europe’s most dynamic real estate markets.”