According to reports from PTI, Cube Highways Trust, an infrastructure investment trust (InvIT), has filed preliminary papers with markets regulator SEBI to raise ₹5,000 crore through its initial public offering. The proposed IPO is entirely an Offer-for-Sale (OFS), where its current shareholders will sell their existing units to new investors. As reported by PTI, the documents filed on Tuesday state that the Trust is proposing conversion from a privately listed infrastructure investment trust to a public InvIT through an Offer-for-Sale of units aggregating up to ₹5,000 crore. Under the OFS, Cube Highways and Infrastructure II, Cube Highways and Infrastructure III, Cube Mobility Investments, BCI IRR India and Seventy Second Investment Company will offload units.
As reported by PTI, Cube Highways Trust implements the public-private partnership model in the country's highways sector to operate and manage highway projects in association with the central and state governments. The InvIT's asset under management (AUM) stood at ₹36,520 crore as of September 2025. According to the filing, as of September 2025, the Trust operates 27 road assets across 12 states and one union territory, out of which 18 are toll roads, 6 are hybrid annuity models, and 3 are annuity assets. These assets include 9 Build, Operate, Transfer (BOT) and Design, Build, Finance, Operate and Transfer (DBFOT) assets, and 9 Toll, Operation, Maintenance and Transfer (TOT) assets.
According to PTI, the InvIT is backed by Squared Capital, an arm of the Abu Dhabi Investment Authority (ADIA), British Columbia Investment Management Corporation, Abu Dhabi's sovereign investor and Mubadala Investment Company. The conversion to a public InvIT will help the Trust access a broader and more diversified investor base beyond private capital, as reported by PTI. Additionally, it will open additional pools of capital from select mutual funds, insurance companies and pension funds, whose participation in privately listed InvITs has historically been limited due to liquidity considerations.
As reported by PTI, before the offer's completion, the Trust will acquire four additional highway and tunnel way project SPVs through swap transactions, increasing the portfolio to 31 road assets totaling 9,811 lane kilometers. These assets include 9 Build, Operate, Transfer (BOT) and Design, Build, Finance, Operate and Transfer (DBFOT) assets, and 9 Toll, Operation, Maintenance and Transfer (TOT) assets. The Trust's operations span 9 Build, Operate, Transfer (BOT) and Design, Build, Finance, Operate and Transfer (DBFOT) assets, and 9 Toll, Operation, Maintenance and Transfer (TOT) assets.
According to PTI, Kotak Mahindra Capital Company, HDFC Bank, HSBC Securities and Capital Markets (India) Private Ltd, and JM Financial are the book-running lead managers for the offer, and Axis Trustee Services is the trustee. Earlier this month, state-owned National Highways Authority of India-sponsored Raajmarg Infra Investment Trust launched its ₹6,000-crore IPO which received strong demand from investors, as reported by PTI.
