IRB InvIT Fund Completes Acquisition of 3 Highway Assets with Enterprise Value of Rs 8,436Crs

IRB InvIT Fund, India’s first listed Infrastructure Investment Trust, has announced that it has successfully completed the acquisition of three highway assets from the IRB Infrastructure Trust.

Commenting on the occasion, Rushabh Gandhi, Director and CFO, IRB Infrastructure Private Limited, the Investment Manager of IRB InvIT Fund, said, “We are deeply grateful to all our investors for their overwhelming response and continued trust in IRB InvIT’s strategy and growth vision. The success of the acquisition marks a significant milestone in our journey.”

Commenting on the development, Virendra D. Mhaiskar, Chairman & Managing Director of the Sponsor said, “The successful conclusion of the acquisition deal between the two InvITs will be a very good value enhancement to the Stakeholders of all three entities, i.e., IRB Infra as well as both the InvITs.” He further said, “This strong response from the marquee global and domestic investors in support of the deal is a testament to the trust and credibility that the IRB Group has built over last three decades. With conclusion of this deal, the InvIT platform has demonstrated its trustworthy character as a credible, scalable, and transparent vehicle for long-term infrastructure investment. With the win-win situation achieved out of this deal, now both InvITs are well positioned to enhance their respective project portfolios, strengthen distributions, and create sustained value for the Unitholders.”

With this, three highway assets of the IRB Infrastructure Trust, Viz. Hapur Moradabad NH-9 (Uttar Pradesh), Kaithal Rajasthan Border NH-152/65 (Haryana) and Kishangarh Gulabpura NH-79A (Rajasthan) have now become part of the Assets Portfolio of the IRB InvIT Fund.

IRB InvIT Fund will be having a Project Portfolio of 9 Revenue Generating Highway Assets, including 8 BOT assets and 1 HAM asset of more than 4,200 Operational Lane Kilometres and an enterprise value of more than Rs.16,000Crs. The weighted average concession life of the Assets under IRB InvIT Fund will now be around 17 years from the existing 14 years.

To re-iterate, IRB InvIT Fund had undertaken the fund raise exercise, the first one since its launch and listing in 2017 for acquisition of three assets of IRB Infrastructure Trust, with an enterprise value of Rs.8,436Crs. The exercise had witnessed strong and broad-based participation, reflecting the confidence of a diverse set of marquee long-term institutional investors, both foreign and domestic, along with several reputed family offices.