NHAI-backed Raajmarg Infra InvIT IPO subscribed 16% on Day 1

New Delhi: The initial public offering of state-owned National Highways Authority of India (NHAI)-sponsored Raajmarg Infra Investment Trust got subscribed 16 percent on the first day of bidding on Wednesday.

The Rs 6,000-crore IPO received bids for 3,39,46,950 units, as against 21,33,33,150 units on offer, as per NSE data.

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The category for institutional investors received 20 per cent subscription, while the quota for other investors got subscribed 11 percent.

Raajmarg Infra Investment Trust (RIIT) on Tuesday raised Rs 1,728 crore from anchor investors, including LIC, ICICI Prudential Life Insurance, Kotak Mahindra Life Insurance and Bajaj Life Insurance.

The InvIT's IPO price has been fixed at Rs 99-100 per unit. The issue would conclude on March 13.

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The initiative marks an important step in broadening public participation in the National Highway infrastructure growth story.

The public InvIT aims to unlock the monetisation potential of the National Highway assets while creating a high-quality, long-term investment instrument primarily targeting retail and domestic investors.

According to the Red Herring Prospectus (RHP), Raajmarg Infra Investment Trust's IPO issue size aggregates up to Rs 6,000 crore.

The InvIT proposes an initial portfolio of five toll roads in Jharkhand, Andhra Pradesh, Tamil Nadu, and Karnataka, operating under the Toll-Operate-Transfer model based on concessions granted by the NHAI to the project SPV.

The toll roads consist of five toll roads spanning over 260 km, forming part of the Golden Quadrilateral project.

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