NHAI Accepts NHIT Offer To Acquire Two Highway Assets
ROADS & HIGHWAYS

NHAI Accepts NHIT Offer To Acquire Two Highway Assets

The National Highways Authority of India (NHAI) has accepted an offer from National Highways Infra Trust (NHIT) amounting to Rs 62.209 bn for the monetisation of two national highway sections totalling 310.35 km across two states.

The monetised assets comprise the 255.97 km Amravati–Chikhali–Tarsod section of NH?53 in Maharashtra and the 54.38 km Gundugolanu–Chinna–Avutapalli section of NH?16 in Andhra Pradesh.

NHIT, an Infrastructure Investment Trust (InvIT) sponsored by the NHAI, has completed four rounds of capital raising with investors including the Canada Pension Plan Investment Board, Ontario Teachers' Pension Plan, the Employees' Provident Fund Organisation, NHAI and the State Bank of India group. The trust has attracted more than 700 investors and its units are listed on the National Stock Exchange and the Bombay Stock Exchange. The current market capitalisation of NHIT units stands at approximately Rs 280 bn.

Asset monetisation through models such as Toll?Operate?Transfer (ToT) and InvITs has been used to generate funds for reinvestment in new national highway projects. During the current financial year the total assets monetised by the authority amount to around Rs 280.77 bn. The programme is intended to mobilise private capital and to accelerate project delivery.

The chairman of the authority indicated that InvITs are playing a critical role in channelising financial capital for further development of the national highway network and that the latest award brings cumulative assets monetised through NHIT to Rs 498.58 bn. The approach is designed to ensure financial sustainability while introducing private sector efficiencies and advanced technologies. Officials expect the model to enhance the quality and longevity of highway infrastructure.

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The National Highways Authority of India (NHAI) has accepted an offer from National Highways Infra Trust (NHIT) amounting to Rs 62.209 bn for the monetisation of two national highway sections totalling 310.35 km across two states. The monetised assets comprise the 255.97 km Amravati–Chikhali–Tarsod section of NH?53 in Maharashtra and the 54.38 km Gundugolanu–Chinna–Avutapalli section of NH?16 in Andhra Pradesh. NHIT, an Infrastructure Investment Trust (InvIT) sponsored by the NHAI, has completed four rounds of capital raising with investors including the Canada Pension Plan Investment Board, Ontario Teachers' Pension Plan, the Employees' Provident Fund Organisation, NHAI and the State Bank of India group. The trust has attracted more than 700 investors and its units are listed on the National Stock Exchange and the Bombay Stock Exchange. The current market capitalisation of NHIT units stands at approximately Rs 280 bn. Asset monetisation through models such as Toll?Operate?Transfer (ToT) and InvITs has been used to generate funds for reinvestment in new national highway projects. During the current financial year the total assets monetised by the authority amount to around Rs 280.77 bn. The programme is intended to mobilise private capital and to accelerate project delivery. The chairman of the authority indicated that InvITs are playing a critical role in channelising financial capital for further development of the national highway network and that the latest award brings cumulative assets monetised through NHIT to Rs 498.58 bn. The approach is designed to ensure financial sustainability while introducing private sector efficiencies and advanced technologies. Officials expect the model to enhance the quality and longevity of highway infrastructure.

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