IndiGrid to raise equity via rights issue, use funds for expansion

IndiGrid, country’s first listed infrastructure investment trust (InvIT) for power transmission assets, is launching its first rights issue to raise Rs 1,200 crore. The company recently also raised Rs 2,500 crore via non-convertible debentures.

Harsh Shah, CEO of IndiGrid, told Business Standard the InvIT would be able to acquire Rs 8,000 crore worth of assets after the rights issue. “Our asset size is growing so we need more capital for future acquisitions,” said Shah.

IndiGrid is in the process to acquire NER-II power transmission project for Rs 4625 crore from Sterlite Power, which is also one of its sponsors. Shah said after the rights issue, IndiGrid can acquire one more asset of similar value.