The expected long-term profits attract pension and infrastructure funds to invest in renewable energy-producing projects frequently.
Canadian pension fund Ontario Teachers' Pension Plan has agreed to buy a 30% stake for 23.71 billion rupees ($297.5 million) in Indian automaker Mahindra's renewable power assets, an exchange filing revealed. OTTP had previously agreed to invest up to $1 billion in a new offshore wind business launched by Australia's Macquarie Group Ltd.
According to the market filing on Saturday, "this will allow the Mahindra Group to unlock value in the Renewable Energy Sector and it will continue to invest with Ontario Teachers' to assist attain its twin objectives of fast growth and worldwide leadership in ESG."
The expected long-term profits attract pension and infrastructure funds to invest in renewable energy-producing projects frequently. According to a Reuters article from earlier this year, OTTP had committed to spending up to $1 billion on a new offshore wind company that Macquarie Group Ltd., an Australian company, had established to develop projects all over the world.