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 India's global investment firm KKR's road platform.

Of the 12 road infrastructure, Ontario Teachers would acquire six final agreements that have been signed. This includes a diversified mix of toll and annuity roads, with a total length of over 910 kilometers in 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 media that the company is delighted to continue our investment in high-quality Indian infrastructure and work with KKR to develop greater connectivity and opportunities for the country through of an improved road network.

As the road sector is a core area for KKR in India, the transaction follows the company's recent infrastructure investments in India, including the acquisition of Virescent Infrastructure, Highway Concessions One and the establishment of India Grid Trust and Virescent Renewable Energy Trust.

KKR's head of India Infrastructure, Hardik Shah, told media that the company is pleased to expand our relationship with Ontario Teachers and work together to capture the industry's strong investment interests and contribute to the development of the transportation infrastructure of India.

This marks Ontario Teachers' third investment in India's infrastructure. It acquired a 25% stake in the National Highways Infra Trust at the end of 2021 and is an anchor investor in the National Investment and Infrastructure Fund. The transaction is expected to close in the third quarter of 2022.