The National Highways Authority of India (NHAI) has raised Rs 15,625 crore from monetisation of 10 highway stretches totalling 890-km, through infrastructure investment trust (InvIT) route. The latest round of InvIT takes the total amount raised by the agency through monetisation so far to Rs 1 trillion – Rs. 42,334 crore through TOT, Rs 26,125 crore through InvIT and Rs 42,000 crore through securitisation.
The road assets will be acquired by National Highways Infra Trust (NHIT) that is sponsored by NHAI. The NHAI holds 15.86% units in the InvIT while Ontario Teachers’ Pension Plan and Canada Pension Plan Investment Board hold 25% each and 9.86% by SBI Balanced Advantage Fund.
NHIT will fund the acquisition through an equal mix of debt and equity. While up to Rs 1,000 crore will be raised through bonds the remaining debt will come from banks.
Earlier this financial year the highway builder had raised Rs 15,968 crore by monetising four bundles of road assets. The money raised from InvIT and Toll Operate Transfer (ToT) mode takes the collection from asset recycling of the highway builder this financial year Rs 31593 crore.
Apart from ToT and InvIT, NHAI has also raised Rs 4600 crore from project-based securitisation of Delhi-Mumbai Expressway. It aims to raise another Rs 9000 crore through securitisation this FY taking the total from this route to Rs 13600 crore.
Before the year is out the total proceeds from monetisation of highways to Rs 45.193 crore, which is way higher than the Rs 35,000 crore budget target.
The assets that will be monetised through the third round of InvIT are in states of Assam, Karnataka, Madhya Pradesh, Uttar Pradesh and West Bengal. The monetized sections in ’InvIT Round-3’ include Chichira-Kharagpur, Orai-Bara, Rewa-Katni-Jabalpur-Lakhnadon, Kachugaon to Rakhaldubi Bus Junction and Rakhaldubi Bus Junction to Kaljhar, Kaljhar to Patacharkuchi, Lakhnadon to Mahagaon, Mahagaon to Khawasa, Hubli to Haveri, Davangere to Haveri and Davangere to Chitradurga.
Earlier, two rounds of InvIT with aggregate length of about 635 km worth Rs.10,200 Crore were monetised.
“The monetized value is expected to be realised in March 2024,” a NHAI statement said.