Shrem group plans to raise Rs 600 cr by diluting 15% stake in InVIT

Mumbai-based Shrem Group is planning to raise Rs 600 crore via diluting a 15% stake in its infrastructure investment trust (InvIT) next week. The Shrem group, which had first tried to raise the money by this route in April and faced delays because of the second wave of the Covid-19, said it is already in discussions with domestic investors to raise the fund by a private listing. Founder of Shrem group, Nitan Chhatwal, told the media a minimum of Rs 2 crore investment is being sought and it will be able to sail by with the offering. He further added that the Shrem group is issuing fresh shares, and they are not selling units in Shrem InvIT as they see there is a lot of opportunity in the space they operate. He claimed that investing in the platform will offer post-tax returns of 9% per annum, given the fact that 85% of the assets are in the annuities space which will see repayments from the government. Chhatwal said that there are developers of annuity projects with assets valued over Rs 2 lakh crore, and they are looking for buyers. The group will also look at expanding its portfolio in the future, he further added. He said that, at present, the 24 assets were claimed to be valued at Rs 7,000 crore, and only 15% of the revenue proceeds from toll roads. Earlier, Chhatwal said that the group got 24 projects from Dilip Buildcon and all projects were finished in March 2020. Image Source Also read: Strata raises $6 mn in a Series A funding round from investors