India: Project Meridian

approved

Mahindra Susten Private Limited (MSPL), backed by Mahindra Group and 2726522 Ontario Limited (a 100% subsidiary of the Ontario Teachers' Pension Plan Board (OTPPB) jointly referred to as the Sponsors, have set-up and registered an Infrastructure Investment Trust under the SEBI InvIT Regulations called Sustainable Energy Infra Trust (SEIT, the Trust). The Trust is set up with an investment strategy focused on renewable energy, supporting India to achieve its Net Zero targets. The Trust will acquire from the Sponsors' portfolio consisting of eight 100 percent operational solar power projects of 1.54 gigawatt peak (GWp) capacity (Portfolio Assets). AIIB's investment into Units (InvIT Units) to be issued by the Sustainable Energy Infra Trust (SEIT, the Trust) will finance the Project, which consists of the Trust's acquisition of eight identified renewable energy assets (Portfolio Assets), by de-leveraging and paying the Trust's set-up expenses. By supporting the formation of SEIT, Sponsors will be provided an efficient financing channel to monetize investments in revenue-generating infrastructure assets, thereby freeing up the much-needed capital for Sponsors to undertake new project development. In addition, the Project contributes to mobilizing private capital, and building the capital-raising track record of InvITs as an infrastructure asset class in India.