Ontario Teachers to infuse $175 mn in KKR's India road platform

Canada's Ontario Teachers’ Pension Plan Board will invest up to $175 million in global investment firm KKR's road platform in India.

Among the 12 road assets, Ontario Teachers is supposed to acquire six definitive agreements that have been inked. This includes a diversified mix of toll and annuity roads, with a total length of more than 910 kilometres across 11 states, including Gujarat, Chhattisgarh, Karnataka, Madhya Pradesh, Maharashtra, Odisha, Rajasthan, Meghalayan, Tamil Nadu, Telangana, and West Bengal.

Ontario Teachers Asia-Pacific Infra, MD Bruce Crane, told the media that the company is delighted to further our investments in high-quality Indian infrastructure and to partner with KKR on developing greater connectivity, and increased opportunities, for the country through improved roads network.

As the roads sector is a core area for KKR in India, the transaction follows the firm’s recent infrastructure investments in India, including the acquisition of Virescent Infrastructure, Highway Concessions One, and the setting up of India Grid Trust and Virescent Renewable Energy Trust.

KKR's Head of India Infrastructure, Hardik Shah, told the media that the company is delighted to extend our relationship with Ontario Teachers and work together to capture the strong investment interest in the sector and contribute to the development of the transport infrastructure of India.

With this, Ontario Teachers marks its third investment in India's infrastructure. It picked up a 25% stake in the National Highways Infra Trust late in 2021 and is an anchor investor in the National Investment and Infrastructure Fund. The transaction is expected to be finished in Q3 2022.

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