US investment firm KKR, electric bus platform Allfleet India and Indian manufacturer of electric commercial vehicles PMI Electro Mobility Solutions have signed definitive agreements under which KKR-managed funds will commit up to US$310 million to form a strategic partnership to help scale Allfleet’s platform and further advance PMI Electro’s manufacturing capabilities.

As part of the investment, KKR will acquire a majority stake in the platform and minority stake in the manufacturer, marking the first KKR Global Climate Transition strategy investment in India and the strategy’s eighth investment globally. The transaction is expected to close in mid-2026.

Allfleet ( operating through its subsidiaries ) is PMI Electro’s e-bus platform, focused on developing, owning and operating large-scale electric public transport fleets. The platform, the companies point out, is on course to deploy a fleet of more than 5,000 e-buses, operating under long-term concession and service agreements with multiple state transport authorities supporting urban mobility needs across key cities.

As India accelerates its transition towards decarbonization and cleaner urban mobility, the companies note, the need to scale reliable and efficient electric public transport infrastructure becomes increasingly critical.

KKR’s investment will support Allfleet’s continued growth and strengthen its ability to collaborate with public transport authorities to expand e-bus fleets across key cities, and help deliver cleaner and more reliable public transport for Indian commuters. This builds on, the companies share, “an integrated, end-to-end solution spanning manufacturing, ownership, operations and lifecycle support enabled by the ongoing partnership between Allfleet and PMI Electro, an early mover in e-buses in India”.

Other KKR Global Climate Transition strategy investments include:

• Zenobē, a UK-based transport electrification and battery storage solutions specialist
• CleanPeak, an Australian distributed energy platform
• HMC Capital’s battery energy storage and renewable energy generation platform in Australia
• EGC, an energy service provider in Germany
• Dawsongroup, an independent asset leasing business providing a diverse range of business-critical solutions
• Avantus, a solar and solar-plus-storage developer in the US
• IGNIS P2X, an industrial decarbonization platform.

“Transport electrification is a critical pillar of the energy transition, and India – with its scale, urbanization trends and decarbonization ambitions – represents one of the most significant opportunities for the sector globally,” says Neil Arora, KKR partner and head of its transition strategy for Asia-Pacific. “The differentiated combination of Allfleet’s proven, scalable platform and PMI Electro’s manufacturing and service expertise stands out as a full-service solution in this market.”

Aanchal Jain, PMI Electro’s CEO and Allfleet’s director, adds: “As our cities grow and mobility needs evolve, clean, efficient and accessible public transport will play a central role in shaping a more sustainable future. This collaboration reflects the alignment of institutional capital, Indian manufacturing capabilities and on-ground execution in delivering mobility solutions of national relevance.”