IRB InvIT Fund, the first listed infrastructure investment trust (InvIT) in India, has raised Rs 32.48 billion through an institutional placement.
The issue saw participation from range of institutional investors and family offices. Post the fundraise, investors excluding sponsor holding more than 5 per cent stake include, Anahera Investment, Kotak Mahindra Bank, and CIM Investment Fund. This is the first fundraising by the InvIT since its initial public offering (IPO).
The proceeds from the fundraise will be utilised to partly fund three build-operate-transfer (BOT) highway assets from the IRB Infrastructure Trust, including, Hapur-Moradabad, Kaithal-Rajasthan Border, and Kishangarh-Gulabpura road, as well as gento fund general corporate purposes. Following the acquisition, its portfolio will make up of nine operational roadway assets, including eight BOT projects and one hybrid annuity model (HAM) asset.
The weighted average life of assets would increase from 14 to 17 years, and the enterprise value of the portfolio will increase from Rs 78 billion to over Rs 160 billion.