Cube Highways Trust: First Private InvIT Converted to Public Listing in India

• Cube Highways Trust has become the first privately listed InvIT to be successfully converted into a publicly listed InvIT in India.
• The transaction was facilitated by Shardul Amarchand Mangaldas & Co., who have advised on every public offering by an InvIT/REIT this calendar year.
• The successful listing of Cube Highways Trust has raised ₹50,000 million and paves the way for other private InvITs to explore similar conversions.
• This precedent may impact future structuring and listing strategies in India's listed infrastructure investment market.

The conversion of Cube Highways Trust into a publicly listed InvIT is a testament to this trend, and highlights the increasing importance of InvITs as a viable investment option for both domestic and international investors.

Cube Highways Trust has made history by becoming the first privately listed Infrastructure Investment Trust (InvIT) to be successfully converted into a publicly listed InvIT in India. This landmark transaction represents a significant milestone in the development of India's listed infrastructure investment market. The conversion was facilitated by Shardul Amarchand Mangaldas & Co., who have also been instrumental in advising on every public offering by an InvIT/REIT this calendar year, further solidifying their expertise in this area.

The successful listing of Cube Highways Trust has paved the way for other private InvITs to explore similar conversions, potentially unlocking new avenues for investment and growth in India's infrastructure sector.

India's listed infrastructure investment market has been witnessing significant growth in recent years, with a growing number of investors seeking to tap into the country's vast infrastructure needs. The conversion of Cube Highways Trust into a publicly listed InvIT is a testament to this trend, and highlights the increasing importance of InvITs as a viable investment option for both domestic and international investors. Notably, this transaction marks the first instance of an InvIT being converted from private to public listing in India, setting a precedent that may have far-reaching implications for future structuring and listing strategies.

The success of Cube Highways Trust's conversion is also significant given the size of its public offering (IPO), which raised ₹50,000 million. This substantial fundraising effort underscores the potential of InvITs to attract large-scale investments in India's infrastructure sector.

The precedent set by Cube Highways Trust's successful conversion into a publicly listed InvIT has significant implications for lawyers advising on Indian infrastructure investments. As the country's listed infrastructure investment market continues to grow, it is likely that more private InvITs will seek to follow in Cube Highways Trust's footsteps, potentially leading to new opportunities and challenges for investors, issuers, and advisors alike.

Lawyers must now consider how this precedent may impact future structuring and listing strategies, as well as the regulatory framework governing InvITs. The successful conversion of Cube Highways Trust serves as a reminder that India's infrastructure investment market is evolving rapidly, and that legal professionals must stay ahead of the curve to provide effective guidance to their clients.

Lawyers advising on Indian infrastructure investments should note the precedent set by Cube Highways Trust's successful conversion into a publicly listed InvIT, which may impact future structuring and listing strategies.

Source: Original reporting via Shardul Amarchand Mangaldas & Co.