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Cube Highways Trust has filed draft documents with the Securities and Exchange Board of India (Sebi) to raise up to INR 5,000 crore through an initial public offering, marking its transition from a privately listed infrastructure investment trust to a publicly listed InvIT. The issue will be entirely an offer-for-sale by existing investors, including Cube Highways and Infrastructure entities and institutional stakeholders. The InvIT, which manages 27 road assets across 12 states and one union territory, reported assets under management of INR 36,520 crore as of September 2025. Ahead of the listing, the trust plans to acquire four additional highway and tunnel assets, expanding its portfolio to 31 assets. The move is expected to broaden its investor base and improve liquidity access.
Cube Highways Trust has submitted draft papers to the Securities and Exchange Board of India (Sebi) to raise up to INR 5,000 crore through an initial public offering, as part of its plan to convert from a privately listed infrastructure investment trust into a publicly listed InvIT, expanding its access to capital markets. Advertisement
The proposed offering will be entirely structured as an offer-for-sale, with existing unitholders divesting part of their holdings to new investors. Entities participating in the sale include Cube Highways and Infrastructure II, Cube Highways and Infrastructure III, Cube Mobility Investments, BCI IRR India, and Seventy Second Investment Company.
The InvIT operates within the highways sector under the public-private partnership model, managing and maintaining road infrastructure assets in collaboration with central and state authorities. As of September 2025, the trust reported assets under management of INR 36,520 crore, reflecting its scale within India's road infrastructure segment.
Currently, the portfolio comprises 27 operational road assets spread across 12 states and one union territory. Of these, 18 assets operate under toll-based models, six follow the hybrid annuity model, and three are structured as annuity assets. The portfolio includes a mix of project structures such as Build-Operate-Transfer (BOT) and Design-Build-Finance-Operate-Transfer (DBFOT), as well as Toll-Operate-Transfer (TOT) assets.
Prior to the completion of the public offering, the trust plans to acquire four additional highway and tunnel special purpose vehicles through swap transactions. This is expected to increase its portfolio to 31 assets, with a total network length of approximately 9,811 lane kilometres, further strengthening its operational footprint.
The trust is backed by institutional investors, including Squared Capital, an affiliate of the Abu Dhabi Investment Authority, British Columbia Investment Management Corporation, and Mubadala Investment Company. These investors are among the existing stakeholders participating in the offer-for-sale.
The proposed listing is expected to enable Cube Highways Trust to access a broader pool of investors beyond private capital. Market participation from mutual funds, insurance companies, and pension funds has historically been limited in privately listed InvITs due to liquidity constraints. The public listing is likely to address these limitations by providing greater transparency and tradability of units.
The move comes amid increasing activity in the InvIT segment, particularly in infrastructure sectors such as roads and highways. In the past week, the National Highways Authority of India-sponsored Raajmarg Infra Investment Trust launched an INR 6,000 crore IPO, which received strong investor response.
Kotak Mahindra Capital Company, HDFC Bank, HSBC Securities and Capital Markets (India), and JM Financial have been appointed as book-running lead managers for the issue, while Axis Trustee Services will act as the trustee.
The proposed public listing reflects continued investor interest in infrastructure-backed yield platforms, with InvITs emerging as a mechanism for monetising operational assets and attracting long-term capital into the sector.
Source - PTI
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