National Highways Infra Trust aims to secure Rs 45 billion via term loan

04 Jul 2023 CW Team

The estimated enterprise value of these assets is expected to exceed Rs 90 billion. This transaction is part of an asset monetization scheme known as toll operate transfer (ToT) arrangement. The funding for the acquisition consists of two components: long-term debt and equity. While the debt amount will be approximately Rs 45 billion, the remaining funds will be raised through equity by issuing infrastructure investment trust (InvIT) units.

The trust, although capable of securing loans of up to Rs 45 billion, is not seeking the entire amount in a single instance.

Initially, it plans to acquire loans worth Rs 35 billion.

According to bankers, two infrastructure lenders, namely the National Bank for Financing Infrastructure and Development (NaBFID) and India Infrastructure Finance Company (IIFCL), are providing loans to the trust. NHAI has established NHIT to hold operational road assets within India.

Previously, NHIT had obtained a debt of Rs 20 billion and capital of Rs 60.11 in order to pay a concession fee of Rs 73.50 billion to NHAI for the initial five assets in the first round of funding during FY22. Subsequently, in FY23, NHIT raised a debt of Rs 23.50 billion and capital of Rs 14.30 billion to pay a concession fee of Rs 28.25 billion to NHAI for the next three assets in the second round. The current round of fundraising involving term loans is part of the third round.

The proposed term loan has been assigned a rating of "AAA" by rating agency India Ratings. The InvIT structure offers diversification benefits. The pooled structure of the InvIT enables cash flows from a total of 13 toll road assets, comprising the existing eight toll road assets and the five proposed assets, as stated by the rating agency.

Also read:
ADB rejects tenders for seven flyovers in ahmedabad
Pathankot-Mandi highway project gets eco clearance

"Join industry leaders at RAHSTA Expo, India's premier platform for roads, highways and traffic infrastructure. Register now to explore innovations, network with experts and shape the future of mobility."

The National Highways Infra Trust (NHIT) announced its plan to raise Rs 45 billion through term loans in order to acquire a portfolio of five operational road assets from its parent organisation, NHAI. The estimated enterprise value of these assets is expected to exceed Rs 90 billion. This transaction is part of an asset monetization scheme known as toll operate transfer (ToT) arrangement. The funding for the acquisition consists of two components: long-term debt and equity. While the debt amount will be approximately Rs 45 billion, the remaining funds will be raised through equity by issuing infrastructure investment trust (InvIT) units. The trust, although capable of securing loans of up to Rs 45 billion, is not seeking the entire amount in a single instance. Initially, it plans to acquire loans worth Rs 35 billion. According to bankers, two infrastructure lenders, namely the National Bank for Financing Infrastructure and Development (NaBFID) and India Infrastructure Finance Company (IIFCL), are providing loans to the trust. NHAI has established NHIT to hold operational road assets within India. Previously, NHIT had obtained a debt of Rs 20 billion and capital of Rs 60.11 in order to pay a concession fee of Rs 73.50 billion to NHAI for the initial five assets in the first round of funding during FY22. Subsequently, in FY23, NHIT raised a debt of Rs 23.50 billion and capital of Rs 14.30 billion to pay a concession fee of Rs 28.25 billion to NHAI for the next three assets in the second round. The current round of fundraising involving term loans is part of the third round. The proposed term loan has been assigned a rating of AAA by rating agency India Ratings. The InvIT structure offers diversification benefits. The pooled structure of the InvIT enables cash flows from a total of 13 toll road assets, comprising the existing eight toll road assets and the five proposed assets, as stated by the rating agency. Also read: ADB rejects tenders for seven flyovers in ahmedabadPathankot-Mandi highway project gets eco clearance

Real Estate

26 Jun 2026

AGM Vijaylaxmi launches Sixty3 W.E. Bizpark

AGM Vijaylaxmi Group has launched Sixty3 W.E. Bizpark, a mixed-use commercial development in Goregaon East, Mumbai. The project includes contemporary office spaces and a high-street retail component designed to support businesses, retailers and professionals.Located along the Western Express Highway, Sixty3 W.E. Bizpark is planned as a G+25-storey commercial tower. It offers office spaces ranging from 545 sq ft to 3,200 sq ft, with a 3.60 metre floor-to-floor height aimed at improving spatial comfort, natural light and operational efficiency.The project features a high-street retail boulevard ..

Real Estate

26 Jun 2026

Manglam Group to Develop Sheraton Hotel in Jaipur

Manglam Group has signed an agreement with Marriott International to develop a Sheraton hotel on the Jaipur–Ajmer Highway in Jaipur. The project will feature 220 keys and is being developed with an investment of around Rs 3.5 billion across more than 300,000 sq ft.The hotel marks Manglam Group’s third collaboration with Marriott International and forms part of its Rs 10 billion hospitality investment roadmap. The agreement was signed by Amrita Gupta, Director, Manglam Group and CEO, Manglam Spa and Resorts, and Rajeev Menon, President, Asia Pacific excluding Greater China, Marriott Interna..

Infrastructure Urban

26 Jun 2026

India Warehousing Show 2026 opens at YashoBhoomi

India's warehousing, logistics, and supply chain ecosystem came together as the 15th edition of India Warehousing Show (IWS) 2026 opened at YashoBhoomi, India International Convention & Expo Centre (IICC), Dwarka, New Delhi on June 25 (Thursday). Organised by RX India, the three-day event will run from 25-27 June 2026, bringing together policymakers, industry leaders, technology providers, and supply chain professionals under one roof. It also features a two-day knowledge conference that will run alongside the exhibition. Inaugurated by Pankaj Kumar, Joint Secretary - Logistics, DPIIT..