NHAI Plans Major Fundraise for Infrastructure Trust
06 Feb 2025
2 Min Read
CW Team
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鈥檚 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鈥檚 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鈥檚 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鈥檚 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
GRAP Stage-I Revoked as Delhi AQI Improves to 140
The Air Quality Index (AQI) in Delhi reached 140 on 15 June 2025, categorised as 'Moderate', according to the Central Pollution Control Board鈥檚 (CPCB) daily bulletin. With steady improvement in air quality and favourable forecasts from IITM and the India Meteorological Department (IMD), the Commission for Air Quality Management (CAQM) has revoked Stage-I of the Graded Response Action Plan (GRAP) across the National Capital Region (NCR) with immediate effect.The decision was made during a review meeting of the CAQM鈥檚 Sub-Committee on GRAP, which assessed overall regional air quality data an..
Next Story
India, CMA CGM Boost Maritime Ties in Marseille Visit
Shri T.K. Ramachandran, Secretary of the Ministry of Ports, Shipping and Waterways (MoPSW), visited the global headquarters of CMA CGM in Marseille, France, on 12 June 2025. The visit builds on Prime Minister Narendra Modi鈥檚 February 2025 trip to France, during which maritime sector growth and global partnerships were highlighted as key focus areas.During the meeting with CMA CGM鈥檚 senior leadership, the Secretary reviewed the Group鈥檚 expanding footprint in India across shipping, shipbuilding, container terminals, multimodal logistics, and maritime industrial development. CMA CGM detaile..
Next Story
Workshop in Patna Pushes Ganga Waterway Development
The Inland Waterways Authority of India (IWAI) is hosting a consultative workshop in Patna on 16 June 2025 to advance inland waterways transport on National Waterway 1 (NW1) under the Jal Marg Vikas Project (JMVP). This is the first such workshop in Bihar, marking a significant move to position Patna as a future hub for inland water transport.The high-level inter-ministerial event will be chaired by Union Minister of Ports, Shipping & Waterways, Shri Sarbananda Sonowal, with participation from Union Textiles Minister Shri Giriraj Singh, Minister of State for Shipping Shri Shantanu Thakur, ..
