Bharat Highways InvIT lists at 1.10% premium at Rs 101 per share on NSE

Bharat Highways Infrastructure Investment is an infrastructure investment trust established to acquire, manage, and invest in a portfolio of infrastructure assets in India, debuted on the Indian stock market today.

The InvIT opened at Rs 101.10 per share on the NSE, reflecting a 1.10% premium over the final issue price of Rs 100 per share. The market capitalisation on the NSE stands at Rs 4478 crore.

IPO Proceeds:

The Net Proceeds will be utilised by the InvIT for two main purposes. Firstly, it will provide loans to the Project SPVs to facilitate the repayment or pre-payment of their outstanding loans, encompassing accrued interest and prepayment penalties. Secondly, the funds will be allocated for general purposes.

Business Overview

Bharat Highways Infrastructure Investment is an infrastructure investment trust established to acquire, manage, and invest in a portfolio of infrastructure assets in India. The Trust is authorised to carry out the activities of an infrastructure investment trust under the SEBI InvIT Regulations.

The Company’s portfolio comprises seven roads, all operated on a HAM basis in Punjab, Gujarat, Andhra Pradesh, Maharashtra, and Uttar Pradesh. These roads are operated and maintained based on concession rights granted by the NHAI and are owned and operated by the Project SPVs, which are currently wholly owned by GRIL.

The InvIT has also entered into a ROFO agreement with GRIL, under which GRIL has granted the InvIT a right of first refusal over certain other assets owned and being developed by GRIL.

Subscription details:

On March 1, 2024, the final day of the InvIT IPO window, the InvIT IPO witnessed an impressive response, with a subscription rate of 6.74 times. The QIB issue received remarkable interest, with the retail category being subscribed 6.59 times, the Invit IPO had no retail portion.

The InvIT IPO price band was between Rs 98 to Rs 100 per share and a lot size of 150 shares. The total size of the InvIT IPO was Rs 2500 crore, and the final share issue price was fixed at Rs 100 each.

Disclaimer: This blog has been written exclusively for educational purposes. The securities mentioned are only examples and not recommendations. It is based on several secondary sources on the internet and is subject to changes. Please consult an expert before making related decisions.