Bharat Highways InvIT, an infrastructure investment fund, on Thursday said it will launch its initial public offering (IPO) worth Rs 2,500 crore on February 28.
The InvIT’s first public issue will end on March 1 and the price band has been fixed at Rs 98-100 per unit for the issue, Bharat Highways InvIT said in a statement.
The proceeds from the issue will be used to provide loans to the Project SPVs (Special Purpose Vehicles) to repay their outstanding loans.
Bharat Highways InvIT is an infrastructure investment trust established to acquire, manage and invest in a portfolio of infrastructure assets in India and to carry out the business of an infrastructure investment trust under the InvIT administration of Sebi.
The initial portfolio consists of seven road assets, all operating on HAM (Hybrid Annuity Model) basis, across Punjab, Gujarat, Andhra Pradesh, Maharashtra and Uttar Pradesh, comprising approximately 497,292 km of constructed and operational roads.
In addition, InvIT has entered into an agreement with GR Infraprojects Ltd (GRIL), following which GRIL has granted a right of first offer to InvIT to acquire certain of its road infrastructure.
About 75 percent of the issue size is reserved for Qualified Institutional Bidders (QIBs) and 25 percent for Non-Institutional Investors (NIIs). Investors can bid for a minimum of 150 units in one plot and in multiples of 150 units thereof.
ICICI Securities, Axis Capital, HDFC Bank and IIFL Securities are the lead managers of the issue.
It is proposed that the units be listed on the BSE and NSE list.
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First print: February 22, 2024 | 4:35 PM IST