One Planet Partners ties up with Japan’s SMTB to deploy ₹3,000 cr for maiden fund
India-focused private equity firm One Planet Partners announced a strategic partnership with Japan’s Sumitomo Mitsui Trust Bank (SMTB) as it launches its maiden fund, with plans to deploy ₹3,000 crore over the next few years, top executives said on Thursday.
“India is one of the world’s most compelling long-term investment destinations. Our strategic investment reflects confidence in both the market and One Planet Partners’ proven track record, institutional approach, and differentiated ability to access and create value in India’s private markets,” said Kazuya Yoneda, general manager – equity investment department, Sumitomo Mitsui Trust Bank.
SMTB, Japan’s largest trust bank and a core operating entity of the Sumitomo Mitsui Trust Group, provides banking, asset management, fiduciary and investment solutions globally. It has more than $1.1 trillion in assets under management and over $1.8 trillion in assets under custody, making it one of the largest institutional investors in Japan and the broader Asia region.
The Japanese financial institution has made a strategic equity investment in One Planet Partners, alongside anchoring a dedicated private equity fund managed by the firm. The partnership marks the formal launch of One Planet’s investment programme, which targets high-growth businesses benefiting from India’s energy transition, mobility and manufacturing-led industrial expansion.
“Their commitment is a powerful endorsement of the strengthening ties between India and Japan,” said Mukund Rajan, founder and chairperson of One Planet Partners.
“Our partnership pairs SMTB’s global scale, investment expertise and patient capital with our team’s unique market access, thematic insights and business-building experience,” added Bobby Pauly, founder and managing partner, in a joint interview with Mint.
The founding team
Founded in 2024, One Planet Partners was established by four founding partners: Rajan and Pauly, who played central roles within the Tata Group and were instrumental in launching and leading its private equity business at Tata Capital.
They are joined by Mrinalini Mirchandani, the first female senior partner at McKinsey & Co India, who led private equity for the firm in India, and Sheetal Thakkar, who brings investment experience from leading firms, including Blackstone and Tata Capital.
With the anchor investor in place, the firm will now focus on attracting more limited partners (LPs) from Japan, other international markets and the development finance institution (DFI) community. “In India, we will also target domestic institutional investors, such as insurance companies and large family offices,” Rajan said, adding that the firm could deploy more than ₹3,000 crore with co-investments from LPs.
The firm has already begun deploying capital, with Bengaluru-based electric mobility company Yulu Bikes Pvt Ltd marking the platform’s first investment as part of its recent $93 million funding round.
The investment reflects One Planet Partners’ focus on commercially scalable businesses benefiting from structural growth opportunities, including electrification, efficient urban mobility and India’s expanding digital economy.
One Planet’s targeted deployment will allow it to make investments of $25-75 million, addressing the gap between early-stage growth capital and large buyout funds, Pauly said. “The overall fund size also enables portfolio diversification, efficient deployment, and a fundraise we can realistically achieve.”
About 15-20% of the fund is allocated to “fast capital” investments, targeting exits within two to three years. “This allows us to deploy capital quickly, generate DPI, and establish an early track record to support the raise of our second fund,” Pauly added.
Over a five- to seven-year horizon, the firm anticipates three potential exit routes: initial public offerings (IPOs), strategic sales and sponsor exits.
“By focusing on the missing middle in private equity, we can bridge the gap between venture capital and buyout funds, creating multiple exit opportunities,” Mirchandani said in the interaction.
One Planet Partners will focus on high-growth mid-market businesses, providing capital of ₹100-500 crore to enterprises with attractive unit economics and revenue of ₹200-2,000 crore.
Investment pipeline
Building on its initial investment, Pauly said the firm had already identified a steady pipeline of assets ready for quick deployment after closing.
“By warehousing these assets before the fund launch, we build value upfront, allowing investors to benefit from the existing NAV (net asset value) from the time they enter the fund,” he explained.
Its investment strategy spans energy, mobility and manufacturing, focusing on businesses positioned to benefit from India’s structural economic growth, energy transition and industrial transformation. The firm aims to combine growth capital with active ownership and operational expertise to help businesses scale and strengthen their competitive positioning.
Within these parameters, the firm has identified over 3,000 companies growing at more than 20%, Mirchandani said. “Our energy transition focus includes renewable energy, grid infrastructure, and equipment for energy-intensive applications such as data centres.”
She further detailed that the firm will invest in the equipment and technologies that enable infrastructure, rather than the infrastructure itself. “Electric mobility is another key focus area, alongside manufacturing sectors such as auto components and medical devices, where India has strong domestic demand and export potential.”