IRB InvIT Fund Completes ₹3,248 Crore Institutional Placement, Updates Unitholding Pattern

IRB InvIT Fund , India's first listed Infrastructure Investment Trust, has successfully completed an institutional placement of units, raising ₹3,248.43 crore. The fund has subsequently updated its unitholding pattern, reflecting significant changes in its investor base and capital structure.

Key Highlights of the Institutional Placement

Fund Raised: ₹3,248.43 crore (upsized from the initial target of ₹3,000 crore)
Units Issued: 54,14,05,000 units
Issue Price: ₹60.00 per unit (at a 4.29% discount to the floor price of ₹62.69)
Purpose: To partly fund the acquisition of three revenue-generating highway assets from IRB Infrastructure Trust and for general corporate purposes

Updated Unitholding Pattern

Following the institutional placement, IRB InvIT Fund's total outstanding units have increased to 1,12,19,05,000. The updated unitholding pattern reveals significant changes in the trust's ownership structure:

Category	No. of Units Held	Percentage of Total Units
Sponsor and Investment Manager Group	10,75,20,000	9.58%
Public Holding	1,01,43,85,000	90.42%
Total Units Outstanding	1,12,19,05,000	100.00%

Breakdown of Public Holding

Investor Category	No. of Units Held	Percentage of Total Units
Foreign Portfolio Investors	44,50,23,460	39.67%
Individual Investors	21,18,36,549	18.88%
Bodies Corporates (Public)	11,50,32,741	10.25%
Financial Institutions/Banks	8,13,66,667	7.25%
Mutual Funds	6,03,78,107	5.38%
Other Institutional Investors	10,07,47,476	8.99%

Notable Investors

Post-allotment, the following investors hold more than 5% of the units (excluding the sponsor):

Anahera Investment Pte. Ltd.
Kotak Mahindra Bank Limited
CIM Investment Fund ICAV

Management Commentary

Mr. Rushabh Gandhi, Chief Financial Officer of IRB Infrastructure Private Limited (the Investment Manager of IRB InvIT Fund), stated, "We are deeply grateful to all our investors for their overwhelming response and continued trust in IRB InvIT's strategy and growth vision. The success of the Institutional Placement marks a significant milestone in our journey since IPO."

Mr. Virendra D. Mhaiskar, Chairman & Managing Director of the Sponsor, IRB Infrastructure Developers Ltd., added, "This strong response from marquee global and domestic investors is a testament to the trust and credibility that IRB Group has built over the years. The successful closure of the Institutional Placement underscores investor confidence in the Indian infrastructure growth story and in the InvIT platform."

Future Outlook

Upon completion of the proposed acquisitions, IRB InvIT Fund is set to expand its portfolio to nine revenue-generating highway assets with a combined enterprise value exceeding ₹16,000 crore and 4,225 operational lane kilometres. This expansion will extend the trust's footprint across multiple states, including Uttar Pradesh and Haryana.

The successful fund raise and the subsequent update in the unitholding pattern demonstrate IRB InvIT Fund's ability to attract diverse institutional investors and its commitment to growth in the infrastructure sector. As the trust moves forward with its acquisition plans, unitholders and market observers will be keenly watching the impact on distributions and long-term value creation.

1 Day	5 Days	1 Month	6 Months	1 Year	5 Years
-0.26%	-1.34%	-1.89%	+12.17%	+2.71%	+66.09%

IRB InvIT Fund , an infrastructure investment trust, has successfully completed a significant institutional placement, raising approximately ₹3,248.43 crore. The fund issued 54.14 crore units at ₹60 per unit, marking a strategic move in the infrastructure investment sector.

Key Details of the Placement

Aspect	Details
Total Units Placed	54,14,05,000
Issue Price per Unit	₹60.00
Total Funds Raised	₹3,248.43 crore
Discount to Floor Price	4.29% (₹2.69 per unit)
Floor Price	₹62.69 per unit

Placement Process and Approval

The Committee of Directors of IRB Infrastructure Private Limited, the investment manager for IRB InvIT Fund, played a crucial role in overseeing the placement process. The committee approved several key aspects of the issue:

Closure of the Issue: The committee confirmed the receipt of application forms and funds from eligible institutional investors, leading to the immediate closure of the issue.
Allocation Approval: In compliance with SEBI InvIT Regulations and the Master Circular, the committee approved the allocation of units to institutional investors.
Documentation: The committee finalized the confirmation of allocation notes to be sent to eligible institutional investors and adopted the placement document.

Market Implications

This substantial fund-raising effort by IRB InvIT Fund demonstrates continued investor interest in the infrastructure sector. The slight discount offered on the floor price suggests a strategic approach to attract institutional investors while balancing the fund's valuation.

The successful completion of this placement could potentially strengthen IRB InvIT Fund's position in the market and provide it with additional capital for infrastructure investments and projects.

Investors and market watchers will likely keep a close eye on how IRB InvIT Fund utilizes this significant capital infusion and its impact on the fund's future performance and infrastructure development initiatives.