By Mahindra Group, in collaboration with global institutional investor Ontario Teachers’ Pension Plan Board, has co-sponsored an infrastructure investment trust (InvIT) dedicated to the renewable energy sector in India. Named Sustainable Energy Infra Trust (SEIT), this InvIT holds assets totaling 1.54 GW in India’s renewable energy space. The initial offer of units raised primary capital of Rs 1,365 crore, according to a statement by Mahindra Group.
SEIT Debut and Investment
SEIT recently made its debut on the National Stock Exchange, marking a significant milestone in India’s renewable energy investment landscape. The trust is designed to catalyze growth in India’s renewable energy sector, boasting operational renewable power assets with a generation capacity of approximately 1.54 GWp.
Mahindra Susten Partnership
Mahindra Susten, a key player in the renewable energy domain, has been instrumental in seeding SEIT with operational assets. The capital infusion of Rs 897.8 crore, sourced through an offer for sale of units of SEIT, will empower Mahindra Susten to develop a robust pipeline of future renewable energy assets. Additionally, Mahindra Susten and SEIT have entered into a strategic arrangement, entailing a Right Of First Offer (ROFO), ensuring that Mahindra Susten’s upcoming renewable energy projects will be offered to SEIT.
Commitment to Growth
Both Mahindra Group and Ontario Teachers’ have demonstrated their commitment to fostering growth in the renewable energy sector. They have pledged investments of up to Rs 3,050 crore and Rs 3,550 crore, respectively, into Mahindra Susten and SEIT. Anish Shah, Group CEO & MD of Mahindra Group, expressed confidence in Mahindra Susten’s ambitious plans for achieving 5X growth in the next five years, aligning with the nation’s green energy objectives.
About Ontario Teachers’ Pension Plan Board
Ontario Teachers’ Pension Plan Board (Ontario Teachers’) is a globally renowned investor with net assets totaling USD 249.8 billion as of June 30, 2023. Their partnership in SEIT underscores the growing prominence of sustainable investments in the renewable energy landscape.
