Nxt-Infra Trust is a SEBI-registered Infrastructure Investment Trust (**InvIT**) established on **November 8, 2023**, and listed on the National Stock Exchange (**NSE**) on **July 2, 2024**. Sponsored by **Actis Highway Infra Limited** (an affiliate of the global sustainable infrastructure investor **Actis**), the Trust serves as a long-term institutional platform designed to own, operate, and monetize high-potential road assets across India. ### Strategic Institutional Framework The Trust operates under a professional management structure designed to ensure regulatory compliance, operational efficiency, and unitholder protection. * **Sponsor:** **Actis Highway Infra Limited** (Mauritius), backed by the **Actis Long Life Infrastructure Fund-1**. * **Investment Manager:** **Walter Infra Manager Private Limited**, responsible for strategic direction, capital allocation, and acquisition growth. * **Project Manager:** **Walter Infra Project Private Limited**, overseeing Operations & Maintenance (**O&M**) and routine/preventive maintenance across the portfolio. * **Trustee:** **Catalyst Trusteeship Limited**, ensuring fiduciary oversight and compliance with SEBI InvIT regulations. --- ### Diversified Asset Portfolio & Corridor Connectivity The Trust manages a portfolio of **6 Special Purpose Vehicles (SPVs)** comprising **14 highway corridors** across **5 Indian states** (Delhi, Haryana, Uttarakhand, Uttar Pradesh, and Maharashtra), totaling over **2,000 lane kilometers**. | Project SPV | Model | Authority | Length (Km) | Lane Km | Concession End | Ownership | | :--- | :--- | :--- | :--- | :--- | :--- | :--- | | **DM Expressway (DME)** | **HAM** | **NHAI** | **8.72** | **139.46** | **2033** | **100%** | | **Nxt-Infra GSY** | **HAM** | **NHAI** | **51.45** | **222.62** | **2035** | **100%** | | **Nxt-Infra CGRG** | **HAM** | **NHAI** | **53.30** | **252.67** | **2035** | **100%** | | **Nxt-Infra CT (CTHPL)** | **HAM** | **NHAI** | **62.70** | **318.78** | **2036** | **100%** | | **NI Road Infra (AM-2)** | **HAM** | **MAH PWD** | **362.75** | **725.50** | **2031** | **100%** | | **Nxt-Infra MCP** | **BOT-Toll** | **NHAI** | **70.50** | **564.00** | **2037** | **49%*** | *\*The Trust holds a **Right of First Refusal (ROFR)** to acquire the remaining **51%** of MCP from Welspun Enterprises for a fixed consideration of **Rs 269 crore** following the mandatory lock-in period.* --- ### Revenue Model & Cash Flow Stability Nxt-Infra Trust utilizes a dual-revenue stream to balance predictability with inflation-linked growth. The revenue mix for **FY25** is approximately **50.38% Toll** and **49.62% HAM**. * **Hybrid Annuity Model (HAM):** Provides stable, semi-annual payments from the **NHAI** and **Maharashtra PWD**. These payments include a fixed interest margin over benchmark rates, serving as a natural hedge against interest rate fluctuations. * **Build-Operate-Transfer (BOT) Toll:** The **MCP** asset (Delhi-Panipat) captures high-traffic volumes on a critical corridor with a mix of **57% passenger** and **43% commercial** traffic. Toll rates are revised annually based on inflation-linked tariffs, providing a hedge against rising costs. * **Operational Efficiency:** The Trust reports a robust **EBITDA Margin of 71.60%**. Sustainability initiatives, such as solar lighting at **DME** and **CTHPL**, have reduced electricity costs by **10-15%** and improved **IRR** by approximately **5 bps**. --- ### Financial Performance & Capital Structure The Trust maintains a conservative financial profile with a **CRISIL AAA/Stable** credit rating, reflecting its strong debt-servicing capabilities. * **Valuation & NAV:** As of the latest reporting, the **Net Asset Value (NAV)** stands at **Rs 109.72 per unit**. The fair value of assets at acquisition was **Rs 1,490.74 crore**. * **Leverage Management:** Total secured borrowings stand at approximately **Rs 3,168 crore**, with a **Net Debt-to-AUM** of **47.38%**, remaining within the regulatory cap of **49%**. * **Liquidity Buffers:** The Trust maintains a **three-month Debt Service Reserve Account (DSRA)** and a cash trap mechanism if the Debt Service Coverage Ratio (**DSCR**) falls below **1.30x**. * **Refinancing:** The Trust successfully refinanced **Rs 3,196.8 crore** of high-cost project-level debt into long-term facilities at the InvIT level to optimize interest costs. --- ### Distribution Policy & Unitholder Returns Nxt-Infra Trust is mandated to distribute at least **90%** of its **Net Distributable Cash Flows (NDCF)** to unitholders. * **FY 2024-25 Performance:** Total distributions paid amounted to **Rs 513.18 crore**, representing **Rs 18.01 per unit**. * **Quarterly Payouts (FY26):** * **Q3 FY26:** **Rs 3.3128 per unit** (Total: **Rs 94.42 crore**) * **Q2 FY26:** **Rs 3.3128 per unit** (Total: **Rs 94.42 crore**) * **Q1 FY26:** **Rs 2.0842 per unit** (Total: **Rs 59.40 crore**) * **Composition:** Distributions typically consist of a mix of **interest income** and **return of capital**, providing tax-efficient returns for various investor classes. --- ### Growth Strategy & Future Pipeline The Trust is positioned to benefit from the Indian government’s **Rs 2.87 trillion** budgetary allocation to the road sector and the **National Monetisation Pipeline**. * **Inorganic Growth:** In **July 2025**, the Trust received a Letter of Intent for the potential transfer of additional road assets from **Actis Roadways Holdings** and other affiliates. * **Asset Optimization:** Leveraging **FASTag** technology (currently at **98.5% penetration**) and exploring **Digital Highway** utility corridors to generate non-toll revenue. * **Leadership:** The appointment of **Mr. Jayanta Neelkanth Dixit** as **CEO** (effective **April 1, 2026**) signals a focus on the next phase of strategic portfolio expansion. --- ### Risk Profile & Mitigation While the Trust manages high-quality assets, it remains subject to sector-specific risks: * **Interest Rate Volatility:** The Trust manages **Rs 31,455 million** in variable-rate liabilities. This is mitigated by the fact that HAM annuity interest is linked to the **Bank Rate**, providing a structural hedge. * **Traffic & Competition:** Toll revenues (specifically **MCP**) are subject to traffic fluctuations and potential diversion to new routes like the **Delhi-Amritsar-Katra Expressway**. * **Operational Costs:** To mitigate volatility in **cement, steel, and bitumen** prices, the Trust utilizes **fixed-price O&M agreements** for three-year cycles on HAM projects. * **Impairment & Technical Adjustments:** In **FY25**, the Trust recorded an impairment of **Rs 25.57 crore** due to increased operational costs in a HAM subsidiary, highlighting the importance of rigorous technical monitoring. * **Regulatory & Legal:** The Trust actively contests environmental show-cause notices (e.g., **HSPCB** dust emission claims) and has successfully nullified damage claims (e.g., **Rs 15.14 crore** for **CTHPL**) through legal channels.