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IRB Infrastructure Trust has signed definitive agreements to transfer two operational Build-Operate-Transfer (BOT) highway assets to the IRB Infrastructure Trust Public InvIT in a transaction valued at INR 4,605 crore. The deal marks another step in IRB's asset monetisation strategy, allowing the company to unlock capital from mature road projects while recycling funds into future infrastructure investments. The transaction also strengthens the InvIT platform by adding revenue-generating highway assets with established toll collections and long-term operational potential.
As India's highway sector matures, infrastructure developers are increasingly turning to InvITs to monetise operational assets and generate capital for new projects. The model enables developers to recycle investments without compromising long-term infrastructure ownership. Continuing this strategy, IRB Infrastructure has signed a major asset transfer agreement involving two operational BOT highway projects, reinforcing the growing role of InvITs in financing India's expanding road network.
IRB Infrastructure Trust has entered into definitive agreements to transfer two operational Build-Operate-Transfer (BOT) highway assets to its Public Infrastructure Investment Trust (InvIT) in a transaction with an enterprise value of INR 4,605 crore. The transaction forms part of the company's long-term asset recycling programme aimed at unlocking value from mature road assets while creating financial capacity for future infrastructure development.
The two assets being transferred comprise IRB Hapur Moradabad Tollway Limited in Uttar Pradesh and Kaithal Tollway Limited in Haryana. Both projects are operational toll roads with stable traffic volumes and predictable cash flows, making them suitable additions to the InvIT portfolio. The transfer will be completed after obtaining customary regulatory approvals and satisfying transaction conditions.
Under the agreement, the Public InvIT will acquire these assets through a combination of debt assumption and equity consideration. The transaction has been structured to optimise capital allocation while maintaining operational continuity across both highway projects. Following completion, the InvIT will own and manage the assets, while IRB will continue to leverage its expertise in highway operations and maintenance where applicable.
The company said the monetisation exercise aligns with its strategy of recycling capital tied up in operational projects into new highway opportunities under the National Highways Authority of India (NHAI) and other road development programmes. By transferring mature assets into the InvIT platform, IRB can strengthen its balance sheet while continuing to participate in India's expanding transport infrastructure pipeline.
Infrastructure Investment Trusts have emerged as an important financing mechanism for India's infrastructure sector, allowing developers to monetise completed assets and providing investors with access to stable, income-generating infrastructure. Operational toll roads are particularly attractive for InvIT portfolios because they generate predictable revenue streams backed by long-term concession agreements and established traffic demand.
The latest transaction further expands the asset base of the IRB InvIT while demonstrating the growing maturity of India's road monetisation ecosystem. As developers increasingly adopt the asset recycling model, such transactions are expected to play a larger role in funding the next generation of highway projects without placing excessive reliance on conventional debt financing or public expenditure.
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