The government s push for rapid growth in the infrastructure sector will catalyse a massive fund flow in the Infrastructure Investment Trusts, Nitan Chhatwal, CMD of Shrem Group told ET.
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ETMarkets Investors Guide (ET Online) Can InvITs really deliver double the returns of a bank FD?
12:56 Min | May 02, 2021, 12:28 PM IST
Before you invest your hard-earned money in Power Grid InvIT IPO, let us first understand what exactly is an InvIT? Listen in.
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Hello, you have tuned into ETMarkets Investors Guide, a show about asset classes, investment ideas and market trends. I am Nikhil Agarwal.
If you are not a senior citizen, the maximum interest that you can earn from a fixed deposit at SBI is not more than 5.4 per cent. Analysts say Power Grid InvIT IPO can give 10-12 per cent dividend annually. Now that would be double of what the SBI FD pays.
Power Grid InvIT mops up ₹ 3,480 crore from 47 anchor investors
K.R.Srivats
New Delhi |
Updated on
April 29, 2021
Public issue of Power Grid InvIT opens today; price band is ₹ 99-100 per unit Maharana company Power Grid Corporation’s InvIT offering got off to a strong start, with the anchor book seeing a mop-up of ₹ 3,480 crore on Wednesday from 47 institutional investors that included many international and leading domestic funds. The amount mobilised through the anchor book accounted for nearly 45 per cent of the targeted ₹ 7,735 crore from the public issue.
The public issue of this InvIT, first ever from a public sector company, opens on Thursday and has a price band of ₹ 99-100 per unit.
Power Grid InvIT issue subscribed 10% on first day
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Last Updated: Apr 29, 2021, 10:01 PM IST
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Synopsis
Power Grid InvIT is looking to raise Rs 7,735 crore through the issue which includes a fresh issue as well as an offer for sale from the sponsor.
Agencies
The InvIT has been touted as a good long-term option for investors looking for assured 10-12 per cent returns as analysts expect the InvIT to comfortably generate that much yield annually.
INSIGHTS
NSE
MUMBAI: MUMBAI: The IPO of the infrastructure investment trust, sponsored by
Power Grid Corporation of India, got off to a slow start on Thursday as the issue was subscribed 10 per cent by the end of the bidding process on Day 1.
State-owned largest power transmission company Power Grid Corporation of India (PGCIL) launched its Infrastructure Investment Trust (InvIT), becoming the first public sector company to do so. After IndiGrid and IRB InvIT fund, Power Grid InvIT (PGInvIT) will be the third publicly listed InvIT in the country and second in the power transmission sector. PGInvIT has offered a price band of Rs 99-100 per unit for the public issue. The issue will open on April 29 and close on May 3. The InvIT will raise Rs 4,993.5 crore as fresh issuance and PGCIL is also providing an offer for sale of Rs 2,742 crore of existing units. PGCIL has offered five ‘initial portfolio assets’ at an enterprise value of Rs 10,384 crore for the proposed PGInvIT.