+
NHAI Plans Major Fundraise for Infrastructure Trust
ROADS & HIGHWAYS

NHAI Plans Major Fundraise for Infrastructure Trust

The National Highways Authority of India (NHAI) is negotiating to raise Rs 9,000 crore (approximately $1.03 billion) for its National Highways Infra Trust (NHIT), marking the largest fundraising round for the state-backed infrastructure trust to date. This move also positions NHIT for the biggest-ever capital raise by a roads-focused infrastructure investment trust (InvIT) in India.

The raised funds will primarily be allocated to acquiring a significant portfolio of road assets from NHAI, notably expanding the assets under NHIT management. The fourth round of acquisitions will involve the purchase of six highways spanning 500 km in states including Andhra Pradesh, Chhattisgarh, Uttar Pradesh, Rajasthan, Uttarakhand, and Gujarat.

Investors contributing to this fundraise are expected to include large institutional shareholders, such as Canada’s largest pension fund manager CPP Investments and Ontario Teachers' Pension Plan (OTPP), which together hold a 50 percent stake in NHIT. These investors, along with domestic institutional participants like insurance companies, mutual funds, and family offices, will provide a substantial portion of the funds.

NHAI holds a 15.48 percent stake in NHIT, while CPP Investments and OTPP each hold 25 percent. NHIT is aiming to complete the fundraising by March 31, 2025, after delays in 2024 due to geopolitical tensions and market instability.

The previous fundraise in March 2024 saw NHIT raise Rs 72.72 billion and acquire assets worth Rs 163 billion from NHAI. With a portfolio covering 1,525 km across nine states, NHIT’s assets have an enterprise valuation of Rs 290.41 billion.

In alignment with the National Monetisation Pipeline (NMP), which projects Rs 1.6 trillion in revenue from the road sector, NHAI and the Ministry of Road Transport and Highways had already generated Rs 535.41 billion by FY24 through toll-operate-transfer and InvIT mechanisms, contributing to the ongoing asset recycling initiative that began in 2018-19.

The National Highways Authority of India (NHAI) is negotiating to raise Rs 9,000 crore (approximately $1.03 billion) for its National Highways Infra Trust (NHIT), marking the largest fundraising round for the state-backed infrastructure trust to date. This move also positions NHIT for the biggest-ever capital raise by a roads-focused infrastructure investment trust (InvIT) in India. The raised funds will primarily be allocated to acquiring a significant portfolio of road assets from NHAI, notably expanding the assets under NHIT management. The fourth round of acquisitions will involve the purchase of six highways spanning 500 km in states including Andhra Pradesh, Chhattisgarh, Uttar Pradesh, Rajasthan, Uttarakhand, and Gujarat. Investors contributing to this fundraise are expected to include large institutional shareholders, such as Canada’s largest pension fund manager CPP Investments and Ontario Teachers' Pension Plan (OTPP), which together hold a 50 percent stake in NHIT. These investors, along with domestic institutional participants like insurance companies, mutual funds, and family offices, will provide a substantial portion of the funds. NHAI holds a 15.48 percent stake in NHIT, while CPP Investments and OTPP each hold 25 percent. NHIT is aiming to complete the fundraising by March 31, 2025, after delays in 2024 due to geopolitical tensions and market instability. The previous fundraise in March 2024 saw NHIT raise Rs 72.72 billion and acquire assets worth Rs 163 billion from NHAI. With a portfolio covering 1,525 km across nine states, NHIT’s assets have an enterprise valuation of Rs 290.41 billion. In alignment with the National Monetisation Pipeline (NMP), which projects Rs 1.6 trillion in revenue from the road sector, NHAI and the Ministry of Road Transport and Highways had already generated Rs 535.41 billion by FY24 through toll-operate-transfer and InvIT mechanisms, contributing to the ongoing asset recycling initiative that began in 2018-19.

Next Story
Real Estate

Shriram Properties Launches ‘Codename: The One’ in Bengaluru

Shriram Properties (SPL), a leading real estate developer focused on the mid-market and mid-premium segments, has announced the launch of its latest residential project under the banner “Codename: The One” in Bengaluru’s Electronic City corridor. This feature-rich gated community will offer 340 spacious 2- and 3-BHK residences, with a total saleable area of approximately 5 lakh square feet and an estimated revenue potential of over Rs 3.5 billion. The project is expected to be developed over a span of more than three years.  Strategically located near the Bommasandra Metro stat..

Next Story
Resources

India Warehousing Show 2025 Closes with Strong Global Presence

The 14th edition of the India Warehousing Show (IWS) 2025 concluded successfully at Yashobhoomi (IICC), Dwarka, drawing participation from over 300 exhibitors across 15 countries and welcoming 15,000+ visitors. Recognised as India’s leading platform for warehousing and logistics excellence, IWS 2025 offered a comprehensive display of cutting-edge automation, sustainable warehousing solutions, and next-gen supply chain technologies. The show was inaugurated by Shri Pankaj Kumar, Joint Secretary – Logistics, DPIIT, Ministry of Commerce and Industry, Government of India. In his opening a..

Next Story
Equipment

MHIET Launches 450kW Gas Cogeneration System with H₂ Co-Firing

Mitsubishi Heavy Industries Engine & Turbocharger (MHIET), part of the Mitsubishi Heavy Industries Group, has launched a new 450kW gas cogeneration system, the SGP M450, jointly developed with Toho Gas Co.,. The system supports hydrogen co-firing at up to 15 vol per cent, with no loss in performance or reliability.  The system is currently available in the Japanese market, and has been developed from the existing GS6R2 city gas engine platform. Key modifications were made to the fuel gas and engine control systems to enable hydrogen co-firing.   Verified through de..

Advertisement

Advertisement

Subscribe to Our Newsletter

Get daily newsletters around different themes from Construction world.

STAY CONNECTED

Advertisement

Advertisement

Advertisement

Advertisement

Talk to us?