Capital Infra Trust Invit IPO: Date, Price, GMP, Strengths & Review

Capital Infra Trust Invit IPO - Complete Overview 

A Mainboard IPO is a book-built issue of Rs.1,578 Cr (15,78,00,000 Cr Shares) by Capital Infra Trust incorporated in 2023, as an infrastructure investment trust, is sponsored by Gawar Construction Limited. This InvIT has been founded for functioning and making investments as an infrastructure investment trust, as permitted under the SEBI InvIT Regulations.

This company constructs road and highway projects for different government agencies across 19 States in the country and includes organizations like the NHAI, MoRTH, MMRDA, and CPWD.

The sponsor company has as of December 2024 a portfolio of 26 road projects on hybrid annuity mode with NHAI out of which 11 are completed projects 5 are acquired assets, erstwhile owned by Sadbhav Infrastructure Project Limited, and 15 are under-construction projects.

The Trust has received a Provisional CRISIL AAA/Stable (Assigned) rating from CRISIL Ratings Limited for NCD(s) of the Trust and proposed a long-term bank loan facility on November 11, 2024.

This new IPO is to be launched on 07 January 2025, and the initial public offering of this upcoming IPO will end on 09 January 2025.

 

Capital Infra IPO Details

The Rs.1578 Crore Capital Infra Trust Invit IPO comprises a combination of a fresh issue of 10.77 Cr Shares (Rs.1077 Cr) and an offer for sale (OFS) of 5.01 Cr Shares (Rs.501 Cr). The IPO listing date is on January 14, 2025. Capital Infra Trust Invit IPO price is Rs.99 to Rs.100. 

If you want to apply for the IPO, Click Here to open a Demat Account.

 

Company Financial

(Amount in Crore)

 

Cash Flows

The cash flows for various activities are shown below:

(Amount in millions)

 

Revenue from Operations Bifurcation

(Amount in millions)

(Source RHP)

 

The Objective of the Issue

• Giving the Project SPV loans to repay or prepay external borrowings, either in full or in part, from financial lenders (including interest and prepayment penalties).

• Giving the Project SPV loans to repay unsecured loans they obtained from the Sponsor.

 

Evaluation

The Capital Infra Trust Invit IPO price band is between Rs.99 to Rs.100 for each Share.

IPO's Strengths   

• Here is a large portfolio of stable revenue-generating assets that is free of construction risks and comes with cash flows for the long term.

• Shall have geographically diversified road asset portfolio and revenue base.

• Attractive industry sector with strong underlying fundamentals and favorable government policies.

• Opportunities for growth and rights to expand the portfolio of assets through acquisitions to the Sponsor's portfolio and third-party projects.

• Complete support from the Sponsor, Project Manager, and Investment Manager.

• Complete support from the Project Manager, Sponsor, and Investment Manager.

 

IPO’s Weaknesses 

• Critical Personnel Dependence: The business of the company depends very much on the directors, promoters, and key managerial personnel. The loss of such a person or the difficulty in getting access to a qualified replacement would adversely affect the operations and growth of the company.

• Market and Competitive Risks: The insulation industry is such an industry that there is hardly any entry barrier which leads to tough competition from organized players and unorganized players. This can affect the share of the business and profitability of the company.

• Economic Slowdowns: The company's products might not be in demand due to any regional or global economic slowdown, which would affect its finances.

• Brand Recognition Challenges: Strong brand recognition must be retained and created by the company. The loss here could refer to opportunities for customers and financial results.

• Operational Interruptions: Events like the COVID-19 pandemic show how external factors can affect operations, supply chains, and financial performance. Similar future events are the other risks to the company in terms of continuity and profit.

 

Capital Infra Trust Invit IPO GMP

Capital Infra Trust Invit IPO GMP today has not started as of 02 January 2025.

Capital Infra Trust Invit Limited IPO Timetable (Tentative)

The Capital Infra Trust Invit IPO date is from 07 January to 09 January, with IPO allotment on 10 January, and refund initiation on 13 January 2025. The IPO listing date is on 14 January 2025.

 

IPO Other Details 

The IPO with a face value of Rs.* per Share, offers an IPO size of 15,78,00,000 Shares (Rs.1578 Cr) and it will be listed at BSE and NSE.

Capital Infra Trust Invit IPO Lot Size

The IPO allows retail investors to invest in a minimum and maximum of 1 Lot (150 Shares) amounting to Rs.15000 and 13 Lots (1950 Shares) amounting to Rs.1,95,000 respectively, while for HNI investors, the minimum Lot is 14 (2100 Shares) amounting to Rs.2,10,000.

IPO Reservation

IPO Lead Managers

• SBI Capital Markets Limited

• HDFC Bank Limited

 

Conclusion

Capital Infra Trust InvIT IPO to invest in a robust infrastructure portfolio that boasts revenue-generating road assets. It has the advantages of government support and so diversified asset base along with some risks like economic slowdown and competition. It is mainly for loan repayment and portfolio expansion. Investors should consider risks and benefits before applying.

Finowings IPO Analysis

Hope you enjoyed the Finowings IPO Analysis. We tried our best to give every required detail about the company that you should know before applying to the IPO. 

You must consult your financial advisor before making any financial decisions. 

To Apply for the IPO, Click Here.

To Read the Prospectus of the Company  Click Here to Download the DRHP.

DISCLAIMER: This is NOT any buy or sell recommendation. No investment or trading advice is given. The content is purely for educational and information purposes only. Always consult your eligible financial advisor for investment-related decisions. 

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