I Squared Capital invests in AG&P City Gas

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SINGAPORE – I Squared Capital, through its ISQ Global Infrastructure Fund III and ISQ Growth Markets Infrastructure Fund, invested approximately US $ 200 million as the first tranche of a US $ 300 million capital increase in AG&P City Gas. AG&P City Gas is a Singapore-based company developing twelve city gas distribution networks, or concessions, in India under the AG&P Pratham brand, covering 280,000 square kilometers, an area approximately the size of Italy. AG&P City Gas was previously 100% owned by Atlantic, Gulf & Pacific Group (AG&P), a Singapore-based downstream LNG company.


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In its twelve concessions, AG&P City Gas is responsible for the development and operation of compressed natural gas (CNG) stations for vehicles, natural gas pipelines to homes and the distribution of liquid natural gas (LNG). industrial and commercial customers. Town gas projects benefit from exclusive marketing in their designated areas for eight to ten years and exclusive construction of related infrastructure for 25 years.

“With AG&P, I Squared Capital was one of the first foreign institutional investors in India’s urban gas sector and is committed to helping the country achieve its goal of having 15% natural gas in its primary energy mix. by 2030. We plan to deploy up to $ 1.3 billion in Capex to develop distribution networks, ”said Gautam Bhandari, Managing Partner at I Squared Capital. “Natural gas is one of the cleanest hydrocarbons and an important element in the energy transition to reduce greenhouse gas emissions. Over the next 25 years, concessions have the potential to reduce CO emissions2 up to 37 million tonnes by replacing fuels such as diesel, gasoline, liquefied petroleum gas, coal and heavy fuel oil. The use of natural gas for cooking also reduces indoor pollution, which is one of the main causes of lung disease in India. ”

“AG&P has the privilege of partnering with I Squared Capital to accelerate the deployment of these vital gas networks developed in India by AG&P City Gas. Over the next few years, the AG&P City Gas network will continue to grow to serve millions of home customers with clean, affordable and safe fuel as India’s middle class increases in size and purchasing power. AG&P City Gas will simultaneously continue to build 1,500 CNG stations so that cars, taxis and buses can seamlessly switch to run on clean fuel. AG&P City Gas will give the opportunity to small and large local businesses to use cleaner and more affordable natural gas, mainly for the first time, a great competitive advantage for the ambitious Atmanirbhar (stand-alone) India program of the Indian government ”, commented Joseph Sigelman, Chairman and CEO of the AG&P Group. “I Squared Capital, which has extensive experience in this area and a robust management system, is an excellent partner for us. ”

“The transaction builds on I Squared Capital’s experience in developing urban gas infrastructure in India through its THINK Gas platform. The concessions cover some of India’s fastest growing cities, such as Jodhpur, Kanchipuram (including southern Chennai), Mysore, and Thiruvananthapuram (otherwise known as Trivandrum). AG&P City Gas and THINK Gas are geographically complementary and will operate as independent companies with separate management teams, ”said Harsh Agrawal, Partner at Singapore-based I Squared Capital. “These two companies form one of the largest private urban gas portfolios in India with eighteen concessions serving approximately 85 million people in nine states with an expected capital expenditure of over $ 1.3 billion for AG&P City. Gas. I Squared Capital will use the same global best practices and smart technologies that we have used for the rapid and successful development of our THINK Gas platform over the past four years. ”


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“We see AG&P City Gas as playing a vital role for India. The transition to natural gas will reduce pollution and promote a healthier environment for all of us, including our children, while supporting our growing manufacturing base by creating jobs, ”said Abhilesh Gupta, Managing Director of AG&P City Gas . “We have a lot to do and we look forward to working with the I Squared Capital team on this mission.”

About I Squared Capital: I Squared Capital is an independent global infrastructure investment manager focused on utilities, digital infrastructure, transportation, energy and social infrastructure in North America, Europe, Latin America and Asia. Headquartered in Miami, the company also has offices in Hong Kong, London, New Delhi and Singapore.

About the AG&P Group: Atlantic Gulf & Pacific (AG&P) is developing LNG import and regasification facilities as well as downstream town gas networks. AG&P also provides engineering and project management services for LNG and other infrastructure. AG&P is owned in part by Osaka Gas, JBIC (Japan Bank for International Cooperation) and Asiya, a publicly traded Kuwaiti fund, and by its management.

About AG & P City Gas: Operating under the AG&P Pratham brand, AG&P City Gas is one of the largest private city gas distribution companies (CGDs) in India. The company develops CGD networks on 12 dealerships in the Indian states of Rajasthan, Andhra Pradesh, Tamil Nadu and Karnataka. and Kerala.

See the source version on businesswire.com: https://www.businesswire.com/news/home/20210822005034/en/



Andreas Moon
Managing Director and Head of Investor Relations, I squared the capital
[email protected]
+1 (786) 693-5739

Anupam Ahuja
Senior Vice President, Strategic services, AG&P Group
[email protected]
+63 (998) 966 5444




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