The National Highways Infra Trust (NHIT) has completed the fundraising through ‘InvIT Round-3’ for national highway stretches spanning 889 km, achieving an enterprise value exceeding Rs 160 billion. This marks the largest monetisation by NHAI and one of the largest transactions in India’s road sector.
In February 2024, NHIT was issued the letter of acceptance (LOA) to raise the highest-ever concession value through ‘InvIT Round-3’. The fundraising in this round involved raising unit capital of approximately Rs 72.72 billion from prominent domestic and international investors, along with debt of about Rs 90 billion from Indian lenders. The funds will be used to acquire national highway stretches, with a base concession fee of around Rs 156.25 billion and additional concessional fees of Rs 0.75 billion.
Investors subscribed to the units through a book build process at a cut-off price of Rs 124.14 per unit, representing a premium over the current NAV of Rs 122.86 per unit. With the completion of the third round, the total realised value from all three rounds of InvIT stands at Rs 261.25 billion. The portfolio includes 15 operating toll roads covering approximately 1,525 km across nine states, with concession periods ranging from 20 to 30 years.
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