The issue will open for subscription on 29 April and will close on 3 May 2021
Power Grid Corporation of India-owned Power Grid Infrastructure Investment Trust has fixed the issue price of its public offer at 99-100 per unit.
The issue will open for subscription on 29 April and will close on 3 May 2021. The anchor of the issue will open for book bidding on 28 April. The PowerGrid InvIT IPO consists of a fresh issue of Rs 4,993.48 crore and an offer for sale of Rs 2,741.51 crore placed by the unit holders.
This decision of Power Grid Corporation came at a time when the government has set its disinvestment target of Rs 175 lakh crore for the financial year 2022. Keeping this goal in mind, the government is in the process of preparing an IPO for LIC and Air India.
Explain that the investment is under a collective investment scheme that works like a mutual fund. In this, individual institutional investors can invest directly in an infrastructure project and earn as a return from the income of that project.
The money received from the IPO’s fresh issue will be used to repay the initial portfolio assets or in debt loans for the reparation of debt. Apart from this, some money will also be used from General Corporate Purpose.
General investment will be able to bid for the lowest 1,100 units in this IPO. After this, bids can be made in the coefficient of 1,100. PowerGrid InvIT has been set up by PowerGrid to invest in Power Transmission Assets in India as an Infrastructure Investment Trust under InvIT Regulations.
Its sponsor Power Grid Corporation of India is also working as the project manager of this InvIT. ICICI Securities, Axis Capital, Edelweiss Financial Services, and HSBC Securities and Capital Markets (India) are acting as book running lead managers of this offer.
