A group of overseas investors have invested $425 million in Asian Genco Pte Ltd. Asian Genco is known to be one of the largest Indian firm to have a huge stake in various power generation assets in the country.

The investment group includes Morgan Stanley's infrastructure wing, Goldman Sachs, Norwest Venture Partners, Everstone Capital and PTC India Financial Services and General Atlantic.

The Indian power sector was not so impressive by the years. It had a horrific time with a peak power deficit of 12% and could not able to attract the foreign investors in recent past. But now it seems to have some improvement ahead. The private equity firms have shown confidence in the industry and the funding is expected to change the current scenario.

However, the Singapore based Asian Genco Pte Ltd is very much enthusiastic on this initiative. By 2012 it is eying to generate 10,000 megawatts of power asset in India. The current portfolio is just over 3,900 megawatts for the company. On the other hand, the private equity investors are too looking for an attractive return on their investment.