Opportunity for healthy risk adjusted returns in a stable business ?India's first infrastructure investment trust in the power sector, IndiGrid provides investors with an opportunity to invest directly in operating power transmission assets characterized by steady cash flows due to absence of traffic risks / operating risks, minimal counter party risk and lower operating expenses. ?IndiGrid will be the beneficiary of rise in demand for transmission capacity due to rising share of renewable energy, regional power demand-supply mismatch and upgradation of existing transmission lines. ?IndiGrid plans to become a Rs. 30,000 Cr AUM trust over next two years with aggressive plans to acquire assets (from Rs. 13,600 Cr AUM today). ?Strong business fundamentals and a 530 bps spread between 10 year G-secs (6.0%) and IndiGrid (11.3%; AAA rated) is attractive. Investment Rationale Steady cash flow generating business model with minimal counter-party risk KKR & GIC reinforce IndiGrid platform's credibility; KKR's induction as co-sponsor to improve robustness of corporate governance Strong focus on growth via acquisitions No negative impact of Covid-19 Attractive risk-adjusted returns Investor return in IndiGrid which is a quasi-equity instrument will be a combination of quarterly dividend and the unit's price appreciation. The IndiGrid's beta against NSE 500 is at just 0.1 as against 0.9 for both, the Power & Utilities Index and the Infra Index. We are confident of IndiGrid's business model, which is backed by predictable cash flows and offers growth visibility. IndiGrid InvIT is AAA rated and offers 11.3% IRR, trading at a spread of ~530 bps to the 10 year...

Q3FY18 net profit came in line with our estimate of Rs 688 mn aided by strong operational performance of Initial Portfolio Assets (IPA) with average availability at 99.9%. Net Distributable Cash Flow (NDCF) stood at Rs 1 bn with Dividend Per Unit (DPU) of Rs 2.9/unit paid as interest to unitholders.

Sponsor with strong track record: Low risk profile given a focused business model and minimal risks vs. other infra assets, High predictability of earnings with >32 years of concession life of projects, Value-accretive growth on a strong pipeline of ROFO assets, Downside protected with opt

Sterlite Power Grid Ventures has come out with an initial public offer (IPO) of India Grid Trust (IndiGrid), India's second infrastructure investment trust (InvIT). IndiGrid InvIT IPO has proposed a price band of | 98-100 per unit aggregating up to | 2,250 crore. The issue opens on May 17 and closes on May 19. It will be listed on both exchanges. Sponsor, Sterlite Power Grid Ventures, is one of the leading independent private sector power transmission companies operating across the country. It owns 11 inter-state transmission projects with a total network...

IndiGrid was established on Oct, 2016 by Sterlite Power Grid Ventures Limited (Sponsor) and is registered with SEBI pursuant to the InvIT Regulations. Sponsor is one of the leading independent power transmission companies operating in the private sector. Sponsor owns 11 inter-state power transmission projects with a total network of 30 po..

India Grid Trust Ltd. Issue Open: May 17?May 19 2017, Price Band: Rs. 98-100 per unit

Incorporated in 2016, IndiGrid InvIT Fund is an infrastructure investment trust (InvIT) established to own inter-state power transmission assets in India. They are focused on providing stable and sustainable distributions to their Unitholders. Sterlite Power Grid Ventures Ltd, sponsor of IndiGrid InvIT Fund is one of the leading independent power transmission companies operating in the private sector, with extensive experience in bidding, designing, financing, constructing and maintaining power transmission projects across India. The trust believes that they are well positioned to take advantage of the growth potential of India's power transmission industry given their financial position, support from Sponsor and the robust regulatory framework for power transmission in India. Company's sponsor owns 11 inter-state power transmission projects with a total network of 30 power transmission...