shrem invit: Shrem Group aims to raise Rs 600 cr by diluting stake in InvIT next week

Mumbai: Shrem Group is targeting to raise Rs 600 crore by diluting a 15 per cent stake in its infrastructure (InvIT) next week, a top official said on Tuesday. The group, which had first attempted to raise the money through this route in April and faced delays because of the second wave of the COVID pandemic, said it is already in discussions with domestic investors, including family offices, corporates and high net worth individuals, to raise the fund through a private listing.

The minimum investment of Rs 2 crore is being sought and its founder Nitan Chhatwal said it will be able to sail through with the offering.

“We are issuing fresh shares and not selling our units in Shrem InvIT. We see there is a lot of opportunity in the space we operate,” he said.

He claimed that investing in the platform will offer post-tax returns of 9 per cent per annum, given the fact that 85 per cent of the assets are in the annuities space which will see repayments from the government.

Noting that there are annuity project developers with assets worth over Rs 2 lakh crore looking for buyers, Chhatwal said the company will also look at expanding its portfolio in the future.

At present, the 24 assets were claimed to be at Rs 7,000 crore, and only 15 per cent of the revenue comes from toll roads, he said.

Chhatwal had earlier said they had bought 24 projects from infrastructure major Dilip Buildcon and all got completed in March 2020.