Bharat Highways InvIT Company Summary

Bharat Highways InvIT Summary

Bharat Highways InvIT was established on 16th June 2022 as an irrevocable trust pursuant to the Trust Deed under provisions of the Indian Trusts Act, 1882. The Trust is registered as an Indian Infrastructure Investment Trust with SEBI dated 3rd August 2022. Pursuant to the Amended and Restated Trust Deed dated December 8, 2022, Lokesh Builders Private Limited was inducted as the new sponsor of the InvIT, replacing G R Infraprojects Limited. Bharat Highways is an Infrastructure Investment Trust established to acquire, manage and invest in a portfolio of infrastructure assets in India and to carry on the activities of an infrastructure investment trust, as permissible under the SEBI InvIT Regulations. The Sponsor is a Private Company, Limited by Shares, and an entity forming part of the GR Group. Currently the assets are owned by GRIL, an associate of the sponsor. GRIL is the flagship entity of GR Group and is engaged in integrated road engineering, procurement and construction in design and construction of various road/highway projects across 16 states in India and more than 100 road construction projects executed since 2006. The GR Group carries out its operations through GRIL and other entities primarily in three categories: (i) civil construction activities, under which it provides EPC services; (ii) development of roads, highways on a BOT basis, including under annuity and HAM; and (iii) manufacturing activities, under which GRIL processes bitumen, manufactures thermoplastic roadmarking paint, electric poles and road signage and fabricates and galvanizes metal crash barriers. The Sponsor holds 31.83% (as of September 30, 2022) of the issued, subscribed and paid-up equity share capital of GRIL, and is an identified promoter of GRIL. Their initial portfolio assets consist of 7 road assets, all operating on HAM basis, in the states of Punjab, Gujarat, Andhra Pradesh, Maharashtra and Uttar Pradesh. These SPV projects include Porbandar-Dwarka Expressway, Varanasi-Sangam Expressway, GR Sangli-Solapur Highway, GR Akkalkot-Solapur Highway, GR Phagwara Expressway, GR Dwarka Devariya Highway Private Limited and GR Gundugolanu-Devarapalli Highway. These roads are operated and maintained pursuant to concession rights granted by the NHAI and are owned and operated by the Project SPVs, which are currently wholly owned by GRIL (an Associate of the Sponsor).Bharat Highways InvIT has filed draft prospectus with the Sebi to raise Rs. 2,000 crore via an issue of units to the public through an initial public offering (IPO).