Cube Highways raises Rs 4,500 cr for first InvIT
03 Apr 2023
2 Min Read
CW Team
According to two sources, I Squared Capital-backed roads platform Cube Highways has raised Rs 4,500 crore for its first infrastructure investment trust (InvIT) from Canada's British Columbia Investment Management Corp and Abu Dhabi's state-owned investment firm Mubadala.
A few domestic institutions, including Larsen & Toubro's treasury operations and the SBI Mutual Fund, have also participated in the fundraising, according to people who spoke on the condition of anonymity.
Cube Highways Trust, the InvIT established by Cube Highways, consists of 19 road assets totaling 1,636.5 km in 11 Indian states. The portfolio had a weighted average residual concession life of 21.8 years and an average operating history of 7.5 years as of March 31, 2022.
The portfolio reported revenue of 鈧�2,268.3 crore in FY22, growing from 鈧�1,828.5 crore in FY21.
"Bulk of the funds has come from British Columbia and Mubadala, while L&T and SBI MF and some other domestic investors have written smaller cheques. Securities and Exchange Board of India's InvIT rules require at least five public shareholders and the domestic institutions have been brought in to meet that requirement," said one of the people. "This is the biggest portfolio of road assets to be put under the InvIT structure so far in India. Cube filed a placement document (offer document) with Sebi earlier this week. Funds will be used to repay asset-level loans taken from financial institutions as well as loans made to these assets by Cube."
According to him, the InvIT will have first dibs on up to six more road projects.
According to a draft offer document filed by Cube Highways Trust last year, the InvIT intends to use up to 4,315 crore for debt repayment and prepayment. According to the offer document, a portion of the funds will also be used for "providing loans to certain initial portfolio assets for repayment or pre-payment of debt, including any accrued interest, obtained by them from certain banks and financial institutions and the Cube Group."
According to the draught prospectus, the portfolio of 19 assets has a total debt of 18,190 crore.
Also Read
Magicbricks: Indian housing demand increased 14% from January to March
40% of registered apartments in Noida receives completion certificates
According to two sources, I Squared Capital-backed roads platform Cube Highways has raised Rs 4,500 crore for its first infrastructure investment trust (InvIT) from Canada's British Columbia Investment Management Corp and Abu Dhabi's state-owned investment firm Mubadala.
A few domestic institutions, including Larsen & Toubro's treasury operations and the SBI Mutual Fund, have also participated in the fundraising, according to people who spoke on the condition of anonymity.
Cube Highways Trust, the InvIT established by Cube Highways, consists of 19 road assets totaling 1,636.5 km in 11 Indian states. The portfolio had a weighted average residual concession life of 21.8 years and an average operating history of 7.5 years as of March 31, 2022.
The portfolio reported revenue of 鈧�2,268.3 crore in FY22, growing from 鈧�1,828.5 crore in FY21.
Bulk of the funds has come from British Columbia and Mubadala, while L&T and SBI MF and some other domestic investors have written smaller cheques. Securities and Exchange Board of India's InvIT rules require at least five public shareholders and the domestic institutions have been brought in to meet that requirement, said one of the people. This is the biggest portfolio of road assets to be put under the InvIT structure so far in India. Cube filed a placement document (offer document) with Sebi earlier this week. Funds will be used to repay asset-level loans taken from financial institutions as well as loans made to these assets by Cube.
According to him, the InvIT will have first dibs on up to six more road projects.
According to a draft offer document filed by Cube Highways Trust last year, the InvIT intends to use up to 4,315 crore for debt repayment and prepayment. According to the offer document, a portion of the funds will also be used for providing loans to certain initial portfolio assets for repayment or pre-payment of debt, including any accrued interest, obtained by them from certain banks and financial institutions and the Cube Group.
According to the draught prospectus, the portfolio of 19 assets has a total debt of 18,190 crore.
Also Read
Magicbricks: Indian housing demand increased 14% from January to March
40% of registered apartments in Noida receives completion certificates
Next Story
CRCL, IIT Delhi Sign MoU to Boost Science and Ease of Business
The Central Revenues Control Laboratory (CRCL), Central Board of Indirect Taxes and Customs (CBIC), Department of Revenue, Ministry of Finance, and the Indian Institute of Technology (IIT) Delhi signed a Memorandum of Understanding (MoU) toward trade facilitation and improving the ease of doing business. This MoU collaboration aims to foster R&D, innovation, and scientific excellence at CRCL, bolstering trade facilitation and regulatory efficiency.The MoU was signed by Prof. Rangan Banerjee, Director, IIT Delhi, and Shri V. Suresh, Director, CRCL, in presence of Shri Surjit Bhujabal, Speci..
Next Story
CAQM Sub-Committee Activates 27-Point Plan to Improve NCR Air Quality
The daily average AQI of Delhi has been hovering marginally above 200 threshold with forecast of slight improvement since last two days. Today, Delhi鈥檚 daily average Air Quality Index (AQI) clocked 213 (鈥楶oor鈥� category), as per the daily AQI Bulletin provided by the Central Pollution Control Board (CPCB), owing to variable winds. In wake of the average/ overall air quality of Delhi recording 鈥楶oor鈥� air quality category ranging between 201-300, the CAQM Sub-Committee on GRAP met today to take stock of the current air quality scenario of Delhi-NCR. While comprehensively reviewing the a..
Next Story
DoT Launches Financial Fraud Risk Indicator to Boost Cybersecurity
In a major step towards combating cyber fraud and financial crime, the Department of Telecommunications (DoT) has announced sharing of 鈥淔inancial Fraud Risk Indicator (FRI)鈥� with stakeholders- an output from a multi- dimensional analytical tool developed as part of the Digital Intelligence Platform (DIP) to empower financial institutions with advance actionable intelligence for cyber fraud prevention. This will enhance cyber protection and validation checks in case of mobile numbers flagged with this tool when digital payment is proposed to be made to such numbers.What is the 鈥淔inancial ..
