Ontario Teachers' Pension Fund planning significant investment in India's energy sector
Ontario Teachers' Pension Plan Expands Investments in Indian Renewable Energy and Tech Sectors
The Ontario Teachers' Pension Plan (OTPP) is deepening its commitment to India's clean energy sector and tech industry. In mid-2025, the pension fund committed approximately $805 million through a convertible equity financing deal with NextEra Energy Partners to acquire nearly 2 GW of renewable energy assets, primarily in the U.S. market.
Additionally, OTPP acquired a 30% stake in Mahindra Susten, a cleantech division of the Mahindra Group, for around $290 million (₹23.71 billion). This strategic move signals OTPP's intention to expand its presence in India's renewable energy sector.
OTPP is also diversifying its investments in India, with plans to invest around $40-$50 million in Hyderabad-based HR SaaS firm Darwinbox. This investment includes both primary and secondary share purchases, indicating OTPP's broader interest in Indian growth enterprises beyond renewables.
Furthermore, OTPP is poised to make an additional capital infusion into a local renewable energy company it initially invested in around three years ago, signalling a strategic expansion of its foothold in India's clean energy sector. However, the specific renewable energy company has not been disclosed.
In a separate development, Ontario Teachers' Pension Plan has exited Sahyadri Hospitals. The new owner of Sahyadri Hospitals is Temasek-controlled Manipal. It is unclear if this investment is related to OTPP's investments in Mahindra Susten.
Canadian pension funds CPPIB and OTPP have also invested another $485 million in NHAI InvIT, a separate investment from their investments in India. The details regarding this investment, such as whether it is a new investment or an additional capital infusion, have not been disclosed.
It is worth noting that OTPP is one of at least half a dozen Canadian pension funds investing in India. The specifics of investments by M&M, Bessemer, Jungle Ventures, or Foseco were not provided in the information available.
In summary, OTPP's recent investments and plans demonstrate a continued and increased commitment to India's renewable energy sector via Mahindra Susten and an impending top-up investment in a local Indian renewable firm, alongside diversification into Indian tech investments like Darwinbox.
The Ontario Teachers' Pension Plan (OTPP) is not limiting its investments to India's renewable energy sector alone, also venturing into the tech industry with a planned investment in Hyderabad-based HR SaaS firm Darwinbox. Despite their significant investment in Mahindra Susten, a cleantech division of the Mahindra Group, OTPP maintains a broad interest in Indian growth enterprises beyond renewables.
