IRB Invit Fund has informed the Exchange regarding Disclosure of material issue
Awaiting price reaction for this filing.
The Board of the Investment Manager of IRB InvIT Fund has approved the acquisition of 100% equity in VM7 Expressway Private Limited from its Sponsor, IRB Infrastructure Developers Limited. The deal values VM7 at an equity value of INR 5,130 million, translating to a minimum enterprise value of INR 12,170 million, subject to closing adjustments. The Trust will also provide loans to the Project SPV to prepay existing senior debt and subordinated debt owed to the Sponsor. Additionally, the Sponsor will act as Project Manager for O&M works on the Vadodara-Mumbai Expressway (Gandeva-Ena section, Gujarat) for approximately INR 2,445.7 million over 15 years. An EGM of unitholders is scheduled for December 24, 2025, to seek approval, with target completion by February 28, 2026.
This is a related-party transaction (Sponsor selling to its own InvIT) at arm's length, aimed at expanding the Trust's portfolio and revenue diversity. The deal adds a sizeable highway asset but increases exposure to the Sponsor group; unitholder approval is the key gating step. Short-term stock reaction may hinge on the perceived fairness of the enterprise value versus future cash flows from the expressway project.