National Investment and Infrastructure Fund Limited has achieved a INR 19,000 crore, approximately $2 billion, first close for NIIF Infrastructure Fund II, representing more than 60% of the fund’s INR 30,000 crore, approximately $3.2 billion, target size.
The fund is anchored by the Government of India and backed by a mix of sovereign wealth funds, pension funds, insurance companies and Indian financial institutions.
Global institutional investors include AustralianSuper, CPP Investments, a wholly owned subsidiary of the Abu Dhabi Investment Authority, Ontario Teachers’ Pension Plan and Temasek.
Indian investors include ICICI Bank, HDFC Bank, Axis Bank, Kotak Life Insurance and HDFC Life Insurance.
NIIF expects the fund to mobilize an additional INR 9,000 crore, approximately $950 million, of co-investment capital, allowing institutional investors to participate alongside the fund in selected transactions.
Infrastructure Fund II will invest across sectors including energy, transportation, digital infrastructure, urban infrastructure and electric mobility.
The strategy combines local deal origination, sector expertise, active governance, co-investment opportunities and long-term asset management.
The new vehicle builds on NIIF’s first infrastructure fund, which raised INR 16,000 crore, approximately $2.34 billion, and invested across renewable energy, power transmission and distribution, battery storage, roads, ports and logistics, airports, data centers and smart metering.
NIIF has also completed or announced exits across renewable energy, road infrastructure and smart metering investments.
NIIF currently manages more than $7 billion in equity capital commitments across four strategies: Infrastructure, Private Markets, Growth Equity and Climate Investments.
KEY QUOTES:
“Infrastructure Fund II reflects the continued confidence of our partners in India’s infrastructure opportunity and in NIIF’s ability to deploy long-term capital with discipline, sector expertise and strong governance. India’s infrastructure build-out is creating opportunities at scale, and NIIF is well positioned to connect global and domestic institutional capital with high-quality businesses. We are grateful to the Government of India, our anchor investor, and to our global and Indian partners for their continued trust.”
Sanjiv Aggarwal, Managing Director and CEO of NIIF
“Our second infrastructure fund builds on the strong performance and operating capabilities established through our first fund. We will continue to create infrastructure platforms at scale, take a hands-on approach to value creation and invest selectively across both established and emerging infrastructure sectors. With a strong pipeline already in place, we see significant opportunities to deploy capital where NIIF can bring sector expertise, operating capability and execution at scale.”
Vinod Giri, Managing Partner, Infrastructure at NIIF
