A consortium led by global investment firm TPG Inc. has signed a formal agreement to acquire India’s Aseem Infrastructure Finance Ltd., a leading non-banking financial company focused on green infrastructure lending. The transaction, valued at approximately ₹40 billion (about $425 million), will see the company merged into a newly created joint venture backed by international and domestic investors, according to people familiar with the development.

The investor group also includes Singapore’s sovereign wealth fund GIC Private Limited and India’s ICICI Bank. The acquisition is aimed at strengthening exposure to India’s rapidly expanding green finance sector, particularly funding for renewable energy, sustainable infrastructure and energy transition projects. Aseem Infrastructure Finance is considered one of the country’s leading shadow lenders in the green financing space, with a strong portfolio supporting environmentally focused projects.

As part of the transaction structure, the acquired entity will be integrated into a newly formed non-banking financial company (NBFC), which will focus exclusively on green infrastructure lending. The investor group is expected to inject around ₹60 billion into the new venture to build capital buffers and expand lending operations. ICICI Bank is expected to hold around a 5% stake in the new company, reflecting its strategic but minority participation in the platform.

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Leadership for the new entity will be drawn from India’s financial services sector, with Manish Chourasia, formerly of Tata Cleantech Capital Ltd., appointed to head the organisation. His appointment signals the consortium’s intent to leverage deep domestic expertise in green and infrastructure financing as it scales operations. Tata Cleantech Capital itself was earlier a standalone entity before its integration with Tata Capital.

Aseem Infrastructure Finance, which is majority-owned by India’s quasi-sovereign National Investment and Infrastructure Fund, has shown strong financial growth in recent years. The company’s assets under management rose to ₹154.3 billion in the financial year ending March 2025, while it reported record net profit during the same period. Its performance has been driven by rising demand for renewable energy financing amid India’s broader push toward clean energy transition.

The acquisition highlights growing global investor interest in India’s green infrastructure sector, which requires long-term and low-cost capital to support solar, wind and other clean energy projects. However, the sector also faces challenges, including regulatory uncertainties, land acquisition hurdles and grid infrastructure constraints. Despite these issues, investors such as TPG and GIC continue to expand their exposure, betting on India’s long-term energy transition and sustained demand for sustainable infrastructure financing.

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