The pair made the investment in Ashoka Concessions through Macquarie SBI Infrastructure Fund and SBI Macquarie Infrastructure Trust, which they co-manage.
Ashoka, which is listed on the Bombay and Indian national stock exchange, has built more than 3,000 km of highway lanes and has an unexecuted order book of about $1bn.
SBI Macquarie Infrastructure Management CEO Suresh Goyal said, “We remain optimistic on the India infrastructure story of which roads sector is a critical component.
“The investment into ACL reflects the continued execution of the funds’ investment strategy, which is to partner with the best in the industry.
“Ashoka, who are one of the pioneers of highway concession projects in India, have a proven track record of 15 years.
“This is a long-term partnership and together we will look forward to taking this business to greater heights.”
Ernst & Young acted as exclusive financial advisors to Ashoka.
Ernst & Young partner Sushi Shyamal added, “This investment vindicates our long-standing position that quality assets developed by rational concessionaries will continue to witness interest from large credible PE investors.
“The current environment will only favour the long-term players in the India highway space who have clearly thought out strategy for survival and growth.”
Last month 3i Group’s Indian infrastructure arm completed a $36m investment in Supreme Infrastructure India’s portfolio of four road companies.
The firm picked up a minority stake in SIBHPL through its $1.2bn India Infrastructure Fund, which it launched five years ago.
3i’s investment was well short of the $61m it had been expected to sink into the portfolio.
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