Canadian pension fund OMERS has acquired a 19.4% stake in an Indian solar-energy company for US$219m (€184m) from the World Bank’s International Finance Corporation (IFC) and its infrastructure fund.

Azure Power, founded in 2008 and listed on the New York Stock Exchange in 2016, owns a portfolio of solar assets across India providing 2GW of operational capacity and a further 5GW of capacity under construction or awarded.

The acquisition is the second direct infrastructure deal in India by OMERS, following an investment in the IndInfravit toll-road platform in 2019.

“In support of our goal of prudently diversifying OMERS investments across global markets, we will continue to explore additional promising opportunities in India and throughout Asia-Pacific,” said Prateek Maheshwari, managing director for Asia at OMERS Infrastructure.

Annesley Wallace, executive vice president and global head of OMERS Infrastructure, said: “This agreement to invest in Azure Power demonstrates OMERS’s strong global interest in high-quality renewable power and energy transition assets, as well as our interest in India as an investment destination and Asia-Pacific more broadly.

“This transaction directly supports our mission of building a strong portfolio of well-run assets that will help pay pensions to our members over the long term.”