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RB Infra plans to raise Rs.6,000 crore through InvITs

RB Infra plans to raise Rs.6,000 crore through InvITs
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In what could be the first fund-raising exercise through Infrastructure Investment Trusts (InvITs), toll road builder IRB Infrastructure Developers is planning to raise Rs.5,000-6,000 crore and is expected to file the draft red herring prospectus (DRHP) within a month.

Finance Minister Arun Jaitley had earlier proposed that any distribution made out of income of a special purpose vehicle (SPV) to InvITs having specified shareholding will not be subjected to dividend distribution tax. InvITs enable individuals to pool investments into the infrastructure sector and earn a return on the income (after deducting expenditure). IRB is a Mumbai-based road developer.

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