Canada Pension Plan Investment Board (CPP Investments) has announced an agreement to invest alongside I Squared Capital in Inkia Energy, a private power generation company based in Peru. Under the transaction terms, CPP Investments will acquire a 50 per cent ownership stake in Inkia at an enterprise value of $3.4 billion. The remaining 50 per cent will be held by an I Squared Capital-led continuation vehicle.
The transaction remains subject to regulatory approvals and standard closing conditions. Moreover, Inkia operates a diversified generation portfolio of 2.6 GW through its subsidiaries Kallpa Generación S.A. and Orazul Energy Peru S.A. Furthermore, CPP Investments and I Squared Capital aim to collaborate on the development of Inkia’s pipeline exceeding 4 GW across wind, solar, gas, and battery storage projects.
I Squared Capital has been invested in Inkia since 2017 and has overseen its transformation into a scaled generation platform. The company has reportedly divested Inkia‘s non-core assets across 10 Latin American jurisdictions and expanded its core Peruvian portfolio from 1.6 GW to 2.6 GW. Additionally, I Squared Capital will continue to play an active role in Inkia’s governance and strategic direction following completion of the transaction.
