Macquarie Asset Management (MAM) on Friday said it raised $405 million to invest in Vertelo, a fleet electrification solutions provider in India.
Vertelo was launched in April 2024 by MAM Green Investment, a division of the global infrastructure asset management firm that actively invests in renewable energy and green infrastructure projects.
The funding includes $205 million from institutional investors and $200 million in concessional capital from its anchor investor, Green Climate Fund (GCF).
Concessional capital refers to investments based on more favourable terms than the market would normally offer. It is often referred to as “patient capital” and is made to support projects with social, developmental, or environmental value.
Other investors include Macquarie Green Energy Transition Solutions Fund (MGETS), Allianz Global Investors (AllianzGI), and Australian Ethical, among others.
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Vertelo provides fleet electrification solutions, including leasing and financing, charging infrastructure and energy management, fleet management services, and end-of-life asset management.
It has forged partnerships with major original equipment manufacturers (OEMS) in India, like EKA Mobility, JBM, MG Motors, Switch Mobility, Tata Motors, and Eicher Volvo.
“We’re pleased to have closed this $405 million fundraising for Vertelo, MAM’s largest investment commitment in the electric vehicle space in Asia. In just over a year, the MAM GI and Vertelo teams have built a strong operating platform in India. This reflects our global strategy of investing in growing businesses and emerging sectors within the energy transition domain,” said Abhishek Poddar, Managing Director, MAM.
The investment comes at a time when the electric vehicle industry in India is seeing rapid growth, supported by favourable government policies. The sector is expected to grow at a compound annual growth rate (CAGR) of about 27% to touch $59 billion in annual sales by 2035.
For Macquarie Group, the investment reinforces its focus on India, a key market for the firm. Since 1999, the company has invested over $4.9 billion in equity capital across businesses in the country.
Edited by Suman Singh
