Mumbai: India Grid Trust, an infrastructure investment trust (InvIT) sponsored by Sterlite Power Grid Ventures Ltd, on Tuesday raised Rs1,012.4 crore as part of its anchor book allocation, ahead of its initial public offering (IPO).
The anchor book is that portion of an IPO that bankers can allot to institutional investors on a discretionary basis. Anchor book subscription opens a day before the launch of an IPO and acts as an indicator of institutional investor interest.
India Grid is the second InvIT to launch an IPO. Earlier this month, IRB Infrastructure Developers Ltd raised Rs5,035 crore through an IPO of its InvIT called IRB InvIT.
India Grid’s anchor book saw participation from foreign institutional investors such as Deutsche Global Infrastructure Fund, Future Fund Board of Guardians managed by Rreef America LLC, Driehaus Emerging Markets Small Cap Growth Fund and Jupiter South Asia Investment Co. Ltd.
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Domestic investors which subscribed to the book included Edelweiss Tokio Life Insurance Co. Ltd, Reliance Nippon Life Insurance Co. Ltd and Reliance General Insurance Co. Ltd.
Units of the trust were allotted to a total of 19 institutional investors at Rs100 per unit. India Grid has set a price band of Rs98-100 per unit for the IPO.
India Grid plans to raise a total of Rs2,250 crore through the IPO. The public issue opens on 17 May and closes on 19 May.
Also on Tuesday, IPO-bound PSP Projects Ltd allotted shares worth Rs95.25 crore to anchor investors.
PSP Projects, an Ahmedabad-based construction company, will launch its initial public offering on 17 May and has fixed a price band of Rs205-210 per share.
The company plans to sell as many as 10.08 million shares, which at the upper end of the price band will fetch the company and its promoters a total of Rs211.6 crore, including a primary fund raise of Rs151 crore.
PSP Projects’ anchor book allocation saw subscription from investors such as Reliance Mutual Fund, SBI Mutual Fund, Axis Mutual Fund, Sundaram Mutual Fund and Birla Sun Life Insurance.