NHAI's InvIT raises funds through follow-on issuance for acquisition of three road projects

National Highways Infra Trust (NHAI InvIT), an infrastructure investment trust sponsored by the National Highway Authority of India (NHAI), has raised Rs 1,430 crore from domestic and international investors through the placement of its units, in order to finance the acquisition of three additional road projects from NHAI. This has been done to support the Government of India's National Monetization Pipeline, according to a press release.

Among the institutional investors who subscribed to the units are the Canada Pension Plan Investment Board, the Ontario Teachers' Pension Plan Board, the State Bank of India, the SBI Pension Fund, the SBI Mutual Fund, the IOCL Employee Provident Fund, the L&T Staff Provident Fund, the Rajasthan Rajyut Karamchari Pension Fund, the TATA AIG and Star Union Daiichi Life Insurance, the statement added.

To maintain a 15 percent unitholding, NHAI subscribed to the units through preferential allotment. At a premium of Rs 109 over the floor price of Rs 107.12, the units were subscribed through a book build process.

Additionally, NHAI InvIT has filed a prospectus with SEBI to issue Non-Convertible Debentures (NCDs) for Rs 1,500 crore. Investors both retail and institutional are able to subscribe to the NCDs, which carry a coupon of 7.90 percent due semi-annually.