HIT is KKR’s third InvIT in India, besides Virescent Renewable Energy Trust- India’s first renewable energy invitation, and India Grid Trust, a Broadcast InvIT. Together, these platforms operate and manage 33 properties worth over $3.8 billion in 22 states or union territories across India.
HIT’s initial portfolio includes six road assets, with a total length of over 450 km across six states in India. The properties, which include a diverse mix of toll and annuity roads, are located GujaratMadhya Pradesh, MeghalayaRajasthan, Tamil Nadu and Telangana.
In addition, HIT is considering a pipeline of acquisition targets, including those of its sponsor. The platform has significant growth potential and is looking to invest in high-quality assets, including bolt-on acquisitions, the statement said.
HIT was started by growing demand for expansion of India’s road network, which is the second largest globally, as passenger traffic and commercial vehicle traffic continue to grow. Today, India’s road network is responsible for 90% of the total passenger traffic and about 65% of freight movement across the country.
“The launch of HIT is an important milestone for KKR” India As an infrastructure strategy, we deepen our presence in the market. Highways and roads play a vital role in driving India’s economic prosperity and connecting its citizens, and we look forward to enabling further infrastructure creation and expansion as the demand for transportation continues to grow,” said Hardik, Partner, KKR. Shah said.
Globally, KKR’s infrastructure portfolio spans multiple sectors, including transportation, renewable energy, power and utilities, water and wastewater, and telecommunications, and manages over $40 billion in assets.