NHAI Monetises Highway Assets Worth ₹6,220 Crore Through NHIT

The National Highways Authority of India (NHAI) has accepted an offer of ₹6,220.90 crore from National Highways Infra Trust (NHIT) for monetising two National Highway stretches covering 310.35 km across Maharashtra and Andhra Pradesh.

This move is part of the government’s asset monetisation strategy to unlock value from operational infrastructure.

About NHIT

NHIT is an Infrastructure Investment Trust (InvIT) sponsored by NHAI.

• Has raised capital in four rounds
• Major investors include:
  • Canada Pension Plan Investment Board
  • Ontario Teachers’ Pension Plan
  • Employees’ Provident Fund Organisation
  • State Bank of India group
  • NHAI

NHIT currently has 700+ investors and a market capitalization of around ₹28,000 crore.
Its units are listed on the National Stock Exchange and Bombay Stock Exchange.

What is an InvIT?

An Infrastructure Investment Trust (InvIT) is similar to a mutual fund that allows investors to pool money into infrastructure projects.

Key Features:

• Provides retail investors access to infrastructure investments
• Generates income through tolls, user fees, or project revenues
• Distributes most earnings as dividends
• Listed on stock exchanges

InvITs follow a tiered structure:

1. Sponsor sets up the InvIT
2. InvIT invests in infrastructure projects directly or via SPVs

They are regulated under SEBI (Infrastructure Investment Trusts) Regulations, 2014 by the Securities and Exchange Board of India.

Importance of Asset Monetisation

Asset monetisation helps:

• Raise funds without selling ownership
• Finance new infrastructure projects
• Improve efficiency in asset management
• Reduce pressure on government finances

For NHAI, InvIT-based monetisation has become a key financing model for expanding India’s highway network.