IRB InvIT Fund has completed its Institutional Placement (IP), raising ₹3,248.43 crore, up from an initial target of ₹3,000 crore.
The issue saw participation from a range of institutional investors, both foreign and domestic, including family offices. Investors holding more than 5 per cent of the units, excluding the sponsor, are Anahera Investment Pte. Ltd., Kotak Mahindra Bank Limited, and CIM Investment Fund ICAV.
The allotment of units equivalent to the issue size was approved by the Committee of Directors of IRB Infrastructure Private Limited, the Investment Manager of the fund.
Fund deployment and portfolio expansion
According to Rushabh Gandhi, Chief Financial Officer of IRB Infrastructure Private Limited, the proceeds will partly fund the acquisition of three highway assets from IRB Infrastructure Trust: Hapur–Moradabad, Kaithal–Rajasthan Border, and Kishangarh–Gulabpura.
“The closure of the Institutional Placement underscores investor confidence in the Indian infrastructure sector and in the InvIT platform. With this fund raise, the InvIT is positioned to enhance its portfolio, strengthen distributions, and create value for unitholders,” said Virendra D. Mhaiskar, Chairman and Managing Director of IRB Infrastructure Developers Ltd.
Following this, the InvIT’s portfolio will include nine operational highway assets (eight BOT and one HAM), covering 4,225 operational lane kilometres across multiple states, including Uttar Pradesh and Haryana.
The enterprise value is expected to rise from approximately ₹7,800 crore to over ₹16,000 crore, and the weighted average life of the assets will increase from around 14 years to 17 years.
