Piramal, Canadian fund launch renewables InvIT

Piramal Enterprises Ltd has signed an MoU with Canada Pension Plan Investment Board (CPPIB) to launch India’s first renewable energy-focussed infrastructure investment trust (InvIT) with an initial corpus of $600 million. The trust will look at acquiring 1.5-2 GW of stable and cash generating renewables assets.

PEL and CPPIB will act as co-sponsors of the proposed InvIT and hold up to 75 per cent of the units. CPPIB will hold 60 per cent with an investment of $360 million while Piramal will hold 15 per cent with a commitment of $90 million. The balance 25 per cent will be raised from other “like-minded investors”.