The investment by the National Investment and Infrastructure Fund in iBus has been made through NIIF’s Master Fund
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The National Investment and Infrastructure Fund (NIIF) has invested $200 million (over Rs 1,650 crore) in iBus Network And Infrastructure Pvt Ltd, a digital infrastructure solutions company in India, to support the growth of the country’s digital infrastructure. The investment has been made through NIIF’s Master Fund, according to a statement released on Wednesday.
“The funds raised will be deployed towards scaling iBUS’ operations through organic and inorganic growth initiatives. iBUS aims to strengthen its position as a leader in In-building solutions, outdoor small cells and managed WiFi services while expanding its presence in new emerging sectors (such as IoT solutions). Additionally, investments will be directed towards developing new infrastructure solutions to address evolving market demands and technological advancements,” NIIF and iBus said in a joint statement.
This investment aligns with the Digital India Mission initiated by the Government of India, aimed at transforming the country into a digitally empowered society and a global knowledge economy, it said.
Following the completion of the transaction, NIIF will hold a significant majority stake in iBUS.
Ram Sellaratnam, group CEO at iBUS, said, “Bharat is one of the fastest-growing economies in the world and is poised for a digital revolution. Digital infrastructure is critical to our country’s growth and with a 60 per cent YoY growth, iBus is geared up to participate and contribute to the Bharat story.
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We were looking for the right investment partner and with NIIF we found partners who are completely aligned with our vision. iBUS can deliver at scale and we are here to transform connectivity in the country at scale, speed, and the right value.”
Vinod Giri, managing partner (Master Fund) at NIIF, said, “Our investment in iBUS marks the eighth investment by our infrastructure fund and the second in digital infrastructure, underscoring our belief in the transformative power of digital technology for India’s economy. We are excited to partner with iBUS, whose commitment to innovating and expanding digital infrastructure aligns with our objective of supporting India’s digital transformation.”
The digital landscape in India is evolving at an unprecedented pace, with the digital transformation unlocking immense potential and promise for the nation. A robust backend infrastructure is required to support this digital transformation and about $35-$40 billion in capital expenditure is expected in the sector in the next five years, creating a need for substantial investments in the space.
Avendus was the transaction advisor to iBus on this investment.
NIIF is a collaborative investment platform for international and Indian investors, anchored by the Government of India, which manages funds with investments in different asset classes and diversified sectors that generate attractive risk-adjusted returns.
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NIIF manages over $4.9 billion of equity capital commitments across its four funds – Master Fund, Private Markets Fund, Strategic Opportunities Fund, and India-Japan Fund, each with a distinct investment strategy committed to support the country’s growth needs.
Master Fund managed by NIIFL is India’s largest infrastructure fund, that aims to participate in the robust Indian infrastructure story.
