M&AOct 29, 2026, 12:55 UTC

Japan's Sumitomo Mitsui Trust backs new Indian PE firm targeting $315M fund

What's the deal? Sumitomo Mitsui Trust Bank has acquired a minority stake in One Planet Partners, an India-focused private equity firm, and committed to anchor its first fund. The fund targets US$407.4M and aims for a first close by mid-2027. Terms of the equity stake were not disclosed.

What's the endgame? One Planet plans to deploy capital in India's mid-market, writing cheques of US$13.6M to US$67.9M for businesses with revenue of US$27.2M to US$271.6M. It targets energy, mobility, and manufacturing companies tied to the country's energy transition and industrial expansion.

Founded in 2024, the firm is led by four partners from the Tata Group, Blackstone, and McKinsey & Company. It argues mid-market firms struggle to raise institutional capital, falling between early-stage investors and large buyout funds.

Why now? The deal fits a wider Japanese push into India. SMBC agreed to invest about $1.6 billion for a stake in Yes Bank in 2025, and other Japanese lenders have pursued Indian financial-sector assets over the past year.

Kazuya Yoneda, general manager of the bank's equity investment department, called India "one of the world's most compelling long-term investment destinations."

One Planet has already made its first investment, in Bengaluru-based electric-mobility company Yulu Bikes, as part of the startup's $93 million Series C round.

The signal: The deal matters less for its size than for what it represents — a Japanese institution backing a new India-focused manager and sectors tied to the country's industrial and energy transition.