Indus Infra Trust to acquire Kerala highway asset at enterprise value of ₹1,001 crore

Indus Infra Trust has entered into an agreement to acquire ULCCS Kasaragod Expressway Private Limited (UKEPL) at an enterprise value of up to ₹1,000.84 crore, further expanding its portfolio of operational road infrastructure assets in India.

The acquisition marks another significant transaction in the country’s growing Infrastructure Investment Trust (InvIT) sector, which continues to attract investor interest due to stable cash flows generated by mature infrastructure projects.

UKEPL owns and operates a six-lane section of National Highway 66 between Thalapady and Chengala in Kerala. The 39-kilometre highway project was developed under the Hybrid Annuity Model (HAM) and carries a concession period of 15 years. As of June 2026, the project has a remaining concession life of more than 14 years, making it an attractive long-term infrastructure asset.

The transaction involves the acquisition of 100 percent equity shareholding in UKEPL. The enterprise value has been pegged at ₹1,000.84 crore, while the equity acquisition component is valued at approximately ₹443.98 crore. The consideration will be paid in cash and is subject to customary closing adjustments.

According to the company, the acquisition aligns with Indus Infra Trust’s strategy of building a diversified portfolio of operational infrastructure assets capable of delivering predictable returns to investors. Operational highway projects remain one of the most preferred asset classes within the InvIT ecosystem due to established traffic patterns, government-backed revenue visibility and long concession periods.

The deal also highlights the increasing importance of asset monetisation in India’s infrastructure sector. By transferring completed projects into InvIT platforms, developers can unlock capital and redeploy funds into new infrastructure developments, accelerating project execution and supporting economic growth.

India’s road sector has witnessed growing participation from institutional investors, pension funds, sovereign wealth funds and infrastructure-focused investment vehicles in recent years. Government initiatives promoting public-private partnerships and asset recycling have further strengthened investor confidence in the sector.

With this acquisition, Indus Infra Trust reinforces its presence in the transportation infrastructure segment while positioning itself for long-term value creation through stable and income-generating road assets.