Caisse de Depot et Placement du Quebec, Montreal, on Monday said it will provide up to $700 million in capital over the next four years to India-based money manager Edelweiss Group to invest in the South Asian nation.
The money will go into distressed investment and private debt in India, according to a joint news release from the Caisse and Edelweiss.
As part of the investment, Caisse will acquire a 20% stake in Edelweiss Asset Reconstruction, Edelweiss’ $4.5 billion distressed debt business,
Caisse will invest from $150 million to $175 million a year under the agreement with Edelweiss. With the Caisse investment and those from other institutions, Edelweiss will put a total of up to $2 billion in Indian private debt and distressed investing, the news release said.
Caisse manages a total of C$254.9 billion ($194.1 billion) in Quebec public pension assets.
In March, Caisse opened CDPQ India, a New Delhi-based investment office, as part of agreements reached in April 2015 between then-Canadian Prime Minister Stephen Harper and Indian Prime Minister Narendra Modi. Those agreements also included the creation of a Mumbai-based office for the Canada Pension Plan Investment Board, which manages the assets of the C$287.3 billion Canada Pension Plan, Ottawa. The CPPIB office opened in October 2015.