Powergrid InvIT IPO To Open On April 29

PowerGrid Infrastructure Investment Trust IPO: This is first ever InvIT (infrastructure investment trust) IPO by a state-owned company and will be the third InvIT to be listed on Indian bourses

PowerGrid Infrastructure Investment Trust (InvIT) will launch its initial public offering (IPO) on April 29. The offer will close on May 3. This is the first ever InvIT (infrastructure investment trust) IPO by a state-owned company and will only be the third InvIT to be listed on the Indian bourses; IRB InvIT and India Grid Trust went public in the year 2017. The shares are likely to be listed on the BSE and NSE. The PowerGrid Infrastructure Investment Trust issue will comprise a fresh issuance of Rs 4,994 crore and an offer for sale for an undisclosed amount. The proceeds from the fresh issue will be utilised for repayment or pre-payment of debt and for general purposes. An InvIT is a collective investment scheme, akin to a mutual fund, that helps individuals and institutional investors to put money directly into infrastructure projects such as roads, transmission lines and renewable energy projects, and earn a steady yield based on the financial performance of the projects concerned.