BENGALURU - Qatar's sovereign wealth fund will invest about $450 million in a power distribution company controlled by Indian billionaire Gautam Adani, the latest in a series of foreign investments in India's energy sector.

The Qatar Investment Authority (QIA) will buy a 25.1% stake in Adani Electricity Mumbai Ltd (AEML) in a deal that will also include subordinated loans, the two sides said on Wednesday.

This is the second big investment in an Adani Group company after France's Total SA decided to buy a stake in gas distribution company Adani Gas in October.

AEML is India's largest private sector power distribution utility, according to its website, serving more than 3 million consumers in India's financial capital of Mumbai and supplying more than half of the city's electricity.

For the quarter ended September, Adani Transmission reported a total income of 26.38 billion rupees ($367.6 million), growing 80% from a year earlier and a profit of 2.3 billion rupees.

India's energy consumption is set to grow rapidly, having almost doubled since 2000, according to the International Energy Agency (IEA).

However, in the past four months, the country's power demand has fallen, government data showed, pointing to a worsening industrial slowdown that has stifled economic growth.

Shares in Adani Transmission fell after the announcement, but were trading about 1.3% higher by 1400 local time in Mumbai.

Adani Transmission and QIA said they plan to ensure that about 30% of the electricity supplied by AEML will be sourced from solar and wind power plants by 2023.

The transaction is expected to be completed in early 2020.

($1 = 71.7700 Indian rupees)

(Reporting by Nallur Sethuraman and Sachin Ravikumar in Bengaluru; Editing by Arun Koyyur) ((Sethuraman.NR@thomsonreuters.com; (+91 8067496031); Reuters Messaging: nallur.sethuraman.thomsonreuters.com@reuters.net))