Baku: The State Oil Fund of the Republic of Azerbaijan (SOFAZ) has made a strategic investment in Inkia Energy, Peru's largest independent power producer, in partnership with I Squared Capital, a global infrastructure investor, according to SOFAZ's announcement to APA-Economics.

According to Azeri-Press News Agency, in February 2026, the Canada Pension Plan Investments Board (CPPIB) acquired a 50% stake in Inkia Energy from I Squared, while the remaining 50% was taken over by an I Squared-managed continuation vehicle. SOFAZ has become an investor in this continuation vehicle.

Inkia Energy manages a diverse portfolio that includes hydroelectric, gas, solar, and wind assets, with a capacity of 2.6 GW, representing 22% of Peru's electricity generation market. The company also has a development pipeline exceeding 4 GW, focusing on renewable energy projects, and is committed to enhancing its presence in this sector over the long term.

This investment is in line with SOFAZ's strategy to diversify geographically into Latin America by investing in resilient assets like power generation. The power sector is noted for its robust fundamentals and appealing risk-return profile, which aligns with SOFAZ's investment objectives.