IRB InvIT Fund raises ₹3,248 cr through institutional placement

15 October 2025

Funds to be used for acquisition of three highway assets

 The proceeds from the placement will partly fund the acquisition of three build-operate-transfer (BOT) highway assets — Hapur–Moradabad, Kaithal–Rajasthan Border, and Kishangarh–Gulabpura — from the IRB Infrastructure Trust, and for general corporate purposes.

IRB Infrastructure Trust is a private InvIT sponsored by IRB Infrastructure Developers.

After the acquisition, the InvIT’s portfolio will comprise nine operational highway assets — eight BOT projects and one hybrid annuity model (HAM) asset. The portfolio’s enterprise value will expand from ₹7,800 crore to over ₹16,000 crore, while the weighted average life of assets will rise from 14 years to 17 years.

Upon completion, IRB InvIT Fund will own and operate 4,225 operational lane kilometres. The acquisitions will be finalised after securing the remaining funds, expected to be raised through preferential issuance and debt financing.

 Strong investor demand prompts issue upsize

 The issue was upsized from the initial ₹3,000 crore target following robust investor response. It saw broad-based participation, reflecting strong confidence from marquee long-term institutional investors — both foreign and domestic — as well as reputed family offices.

 Rushabh Gandhi, Chief Financial Officer of IRB Infrastructure, the investment manager of IRB InvIT Fund, said, “The success of the institutional placement marks a significant milestone in our journey since the IPO. The proceeds will be utilised to part fund the proposed acquisition of three revenue-generating highway assets from IRB Infrastructure Trust.”

 Prominent investors and post-placement ownership

 Following allotment, investors holding more than 5 per cent of the units (excluding the sponsor) include Anahera Investment, Kotak Mahindra Bank, and CIM Investment Fund ICAV.

Completion of the placement remains subject to listing and trading approvals from the stock exchanges.

 ‘Strong validation of India’s infrastructure growth story’

 Virendra Mhaiskar, Chairperson and Managing Director of IRB Infrastructure Developers, said, “The successful closure of the institutional placement underscores investor confidence in the Indian infrastructure growth story and in the InvIT platform.

Source: https://www.business-standard.com/companies/news/irb-invit-fund-raises-rs-3248-crore-via-institutional-placement-125101500400_1.html?utm_source=chatgpt.com