10 Jun 2022
IndInfravit to acquire five Indian road projects from Brookfield
On June 16, 2023, IndInfravit Trust, led by the Canada Pension Plan Investment Board, completed the acquisition of five operational road projects in India from Brookfield Asset Management Inc. The enterprise value of the transaction was $1.55 billion. The legal counsel for IndInfravit was Cyril Amarchand Mangaldas, with Ambit serving as the exclusive financial advisor.
The acquisition included a mix of three toll roads and two annuity roads, encompassing about 2,400 lane kilometers across the states of Andhra Pradesh, Bihar, Maharashtra, and Uttar Pradesh.
Pawan Kant, the CEO of LTIDPL IndvIT Services Limited—the investment manager for IndInfravit Trust—remarked that this was one of the most significant highway sector acquisitions in recent times. He highlighted the move as reflective of the robust investor confidence in India's economic narrative, particularly demonstrated by the highways sector. Kant noted that the five operating assets were all integral to the National Highways program in states that collectively contribute approximately 30% to India's GDP.
Scott Lawrence, Managing Director and Head of Infrastructure at CPP Investments, reaffirmed their commitment to IndInfravit, emphasizing the strategic growth and regional diversification that the acquisition brings to the InvIT. He also pointed out that the addition of these critical road assets aligns with their strategy to secure strong, sustained returns for CPP contributors and beneficiaries.
