Global investment firm KKR has finalized agreements to invest as much as $310 million to establish a strategic partnership with Allfleet India and PMI Electro Mobility Solutions, targeting the expansion of electric public transport infrastructure in India, as reported.

KKR-managed funds will take a majority stake in Allfleet and a minority stake in PMI Electro as part of the deal. The agreement signifies KKR’s initial investment in India within its Global Climate Transition strategy and its eighth worldwide.

Established in 2022, Allfleet serves as the electric bus (e-bus) platform for PMI Electro, concentrating on the development, ownership, and operation of extensive electric public transportation fleets. The platform is set to roll out over 5,000 e-buses through long-term concessions and service contracts with several state transport authorities in major Indian cities.

The funding arrives as India speeds up its efforts for decarbonization and more sustainable urban transport. The collaboration is anticipated to bolster Allfleet’s capacity to enlarge its fleet presence and improve partnerships with public transport agencies, while also boosting PMI Electro’s production and service capabilities, it noted.

Neil Arora, Partner and Head of Asia Pacific for KKR's Climate Transition strategy, states, “Electrifying transport is a vital component of the global energy shift, and India presents a major growth opportunity because of its size and trends in urbanization.”

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He mentioned that the integration of Allfleet’s adaptable platform and PMI’s production knowledge offers a unique, comprehensive solution in the industry.

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Aanchal Jain, CEO of PMI Electro and Director at Allfleet, characterized the investment as a pivotal moment that confirms the cohesive electric mobility platform developed by the company. She observed that with the growth of Indian cities, dependable and sustainable public transport systems will be crucial for future urban development.

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KKR stated that the investment enhances its overall climate strategy, through which it has pledged more than $44 billion worldwide since 2010. Its investment portfolio encompasses transport electrification, battery storage, renewable energy, and decarbonisation platforms in markets like the UK, US, Germany, and Australia.