Indian Highways Concessions Trust has sought SEBI’s approval to float units of infrastructure investment trust (InvITs on December 24.
With this, Indian Highways Concessions Trust will the tenth InvIT in the Indian market. India Grid Trust, India Infrastructure Trust, IndInfravit Trust, IRB Infrastructure Developers, IRB InvIT Fund, MEP Infrastructure, Oriental InfraTrust, Reliance Industrial Investments, and Tower Infrastructure Trust are the nine InvITs registered with SEBI.
An InvIT is like a mutual fund that pools funds from many institutional investors for investing in infrastructure projects to earn regular returns. InvITs invest in infrastructure building activities such as roads, telecommunication towers or power plants.
Generally, institutional investors like mutual funds and HNIs invest in units of InvITs as the minimum ticket size is Rs.10 lakh.