Capital Infra Trust InvIT IPO

Capital Infra Trust InvIT IPO subscribed 78% on Day 2                                                   

The Initial Public Offering of Capital Infra Trust InvIT was subscribed 0.78 times on the first day of bidding.

The issue received bids of 6,85,74,750 shares against the offered 8,83,83,750 equity shares, at a price band of ₹99-100, according to the data available on the stock exchanges.

Other Investors Portion were subscribed 1.67 times and Institutional Investors Portion were subscribed 0.04 times. The issue kicked off for subscription on Tuesday, January 7, 2025, and will close on Thursday, January 9, 2025. 

A day before the opening of the issue, Capital Infra Trust InvIT raised Rs 703 crores from anchor investors. Foreign and Domestic Institutions who participated in the anchor included HDFC Life Insurance, Quant Mutual Fund, SBI Life Insurance, NPS Trust, HDFC Mutual Fund, Axis Mutual Fund, Nuvama Multi Asset Strategy Return Fund, Kotak Mahindra Trustee, ICICI Prudential MF, Max Life Insurance, Baroda PNB Paribas MF, Pico Capital, and Navi Finserv were the institutional participants in the anchor book of the infrastructure investment trust.

Leading brokerage firms like Canara Bank Securities, Adriot Financial Services, Ventura Securities and Master Trust Capital, have given a “Subscribe” rating to the issue highlighting the company’s strong foundation in India’s booming infrastructure sector. Capital Infra Trust (CIT), sponsored by Gawar Construction Limited (GCL), leverages GCL’s 15+ years of expertise in road and highway development and a diversified portfolio across 19 states. The Rs. 1,578 crore IPO, comprising fresh units worth Rs. 1,077 crore and an offer for sale of Rs. 501 crore, aims to enhance project funding capabilities and repay borrowings. Backed by government-supported Hybrid Annuity Model (HAM) projects and sustained government focus on infrastructure, CIT ensures stable cash flows and growth potential. While risks like payment delays and rising interest rates exist, the Trust’s optimal capital structure, predictable asset inflows, and strategic expansion opportunities make it a promising long-term investment.

Lead Managers for the Issue are SBI Capital Markets Limited, HDFC Bank Limited. Registrar to the Issue is KFin Technologies Limited.

The table below shows subscription data for all the categories of investors:

Sr.No.	Category	No.of shares offered / reserved	No. of shares bid for	No. of times of total meant for the category
1	Institutional Investors	4,85,35,200	18,78,150	0.04
1(a)	Foreign Institutional Investors (FIIs)	-	-
1(b)	Domestic Financial Institutions(Banks/ Financial Institutions(FIs)/ Insurance Companies)	-	-
1(c)	Mutual Funds	-	-
1(D)	Others	-	18,78,150
2	Other Investors	3,98,48,550	2,38,11,450	1.67
2(a)	Corporates	-	39,54,600
2(b)	Individuals (Other than RIIs)	-	5,91,92,550
2(c)	Others	-	35,49,450
	Total	8,83,83,750	6,85,74,750	0.78