Comments
Reliance Infrastructure is planning to launch the initial public offering (IPO) of its investment infrastructure trust (InvIT) in next two weeks, the sources aware of the developments told BusinessLine .
RInfra InvIT Fund will become the third to float an IPO after IRB InvIT promoted by IRB Infrastructure and India Grid Trust sponsored by Sterlite Power Grid Ventures went public earlier this month.
In the beginning of May, Reliance Infrastructure filed revised papers with regulator SEBI scaling down the size of the proposed IPO from initial ₹3000 crore to ₹2,500 crore. Yesterday, the company has received the final observation SEBI for the IPO, the company said in a statement.
Reliance Nippon Life Asset Management will be the investment manager to the InvIT while Capital, DSP Merrill Lynch, and UBS Securities will act as Global Coordinators and Book Running Lead Managers. The investment manager reserves the option to retain oversubscription up to 25 per cent of the issue size, the company added.
For Reliance Infrastructure, InvIT could emerge as a tool for divesting stake in stressed assets, allowing the company to reduce its consolidated debt by ₹3,200-4,000 crore, the sources suggested.
The consolidated debt of the company currently stands at ₹25, 000 crore.
The Anil Ambani-promoted company is also looking to receive an arbitration award of ₹4,670 crore from Delhi Metro Rail Corporation (DMRC) after the arbitration tribunal has ruled the contract in favour of Reliance Infrastructure.
Comments
COMMENT NOW
Comments
Comments have to be in English, and in full sentences. They cannot be abusive or personal. Please abide by our community guidelines for posting your comments.
We have migrated to a new commenting platform. If you are already a registered user of TheHindu Businessline and logged in, you may continue to engage with our articles. If you do not have an account please register and login to post comments. Users can access their older comments by logging into their accounts on Vuukle.