NIIF Injects $200 Million into iBUS for India's Digital Infrastructure Boost

By siliconindia  |  Wednesday, April 10, 2024

NIIF Injects $200 Million into iBUS for India's Digital Infrastructure Boost
The National Investment and Infrastructure Fund (NIIF) has injected $200 million (equivalent to over Rs 1,650 crore) into iBus Network And Infrastructure Pvt Ltd, an Indian company specializing in digital infrastructure solutions. This investment, facilitated through NIIF's Master Fund, aims to bolster the expansion of India's digital infrastructure, as per an official statement.
“The funds raised will be deployed towards scaling iBUS’ operations through organic and inorganic growth initiatives. iBUS aims to strengthen its position as a leader in In-building solutions, outdoor small cells and managed WiFi services while expanding its presence in new emerging sectors (such as IoT solutions). Additionally, investments will be directed towards developing new infrastructure solutions to address evolving market demands and technological advancements”, NIIF and iBus said in a joint statement.
Ram Sellaratnam, group CEO at iBUS, said, “Bharat is one of the fastest-growing economies in the world and is poised for a digital revolution. Digital infrastructure is critical to our country’s growth and with a 60 percent YoY growth, iBus is geared up to participate and contribute to the Bharat story. We were looking for the right investment partner and with NIIF we found partners who are completely aligned with our vision. iBUS can deliver at scale and we are here to transform connectivity in the country at scale, speed, and the right value”.
Vinod Giri, managing partner (Master Fund) at NIIF, said, “Our investment in iBUS marks the eighth investment by our infrastructure fund and the second in digital infrastructure, underscoring our belief in the transformative power of digital technology for India’s economy. We are excited to partner with iBUS, whose commitment to innovating and expanding digital infrastructure aligns with our objective of supporting India’s digital transformation”.
India's digital realm is undergoing rapid evolution, marked by unprecedented growth and potential, as the nation embraces digital transformation. This surge necessitates a strong foundational infrastructure to sustain its momentum. Forecasts indicate that the sector will witness capital expenditure ranging between $35 to $40 billion over the next five years, underscoring the imperative for significant investments in this domain.
NIIF stands as a collaborative investment platform, bridging international and Indian investors under the aegis of the Government of India. It oversees funds allocated across various asset classes and diversified sectors, aiming to yield appealing risk-adjusted returns. Presently, NIIF manages a total equity capital commitment exceeding $4.9 billion dispersed among its four funds: the Master Fund, Private Markets Fund, Strategic Opportunities Fund, and India-Japan Fund. Each fund boasts a unique investment strategy tailored to bolster the nation's growth requirements.

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