| Cube Highways Trust | ||
| Rating Reaffirmed | ||
| Rating Action | ||
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| & A prefix of 'Provisional' indicates that the rating centrally factors in the strength of specific structures and is contingent upon occurrence of certain steps or execution of certain documents by the issuer, as applicable, without which the rating would either have been different or not assigned ab initio. This is in compliance with a May 6, 2015, directive titled ‘Standardising the term, rating symbol, and manner of disclosure with regards to conditional/provisional/in-principle ratings assigned by credit rating agencies' by Securities and Exchange Board of India (SEBI) and an April 27, 2021, circular ‘Standardising and Strengthening Policies on Provisional Rating by Credit Rating Agencies (CRAs) for Debt Instruments’ by SEBI. | ||
| Note: None of the Directors on CRISIL Ratings Limited’s Board are members of rating committee and thus do not participate in discussion or assignment of any ratings. The Board of Directors also does not discuss any ratings at its meetings. | ||
| 1 crore = 10 million | ||
| Refer to Annexure for Details of Instruments & Bank Facilities |
Detailed Rationale CRISIL Ratings has reaffirmed its corporate credit rating of ‘Provisional CCR AAA/Stable’ of Cube Highways Trust (CHT) and extended its validity by 90 days. CHT is an Infrastructure Investment Trust (InvIT) of roads sector assets sponsored by Cube Highways and Infrastructure Pte Ltd (CHI, or Sponsor) and Cube Highways and Infrastructure III Pte Ltd (CHIII, or Sponsor), which is invested in by funds, vehicles and/or entities managed and/or advised by Cube Highways and/ or its affiliates (collectively Cube), with Cube Highways Fund Advisors Pvt Ltd (CHFAPL) as its Investment Manager, Cube Highways Transportation and Asset Advisors Pvt Ltd (CHTAAPL) acting as the Project Manager and Axis Trustee Services Ltd as the Trustee.
CHT had filed the draft placement memorandum (DPM) with the Securities and Exchange Board of India (SEBI) on July 20, 2022. All terms and conditions highlighted in the DPM are in line with details provided to CRISIL Ratings at the time of assignment of rating. CHT is in the process of filing the updated draft placement memorandum (UDPM) with SEBI, which will be subject to receipt of necessary approvals from lenders, Authority and other stakeholders for transfer of shareholding of underlying project assets. Listing of the InvIT and refinancing of loans in underlying special purpose vehicles (SPVs) in line with proposed debt is expected to be completed by the end of December 2022, subject to timely receipt of approvals. Any changes to the transaction vis-à-vis information provided at the time of assignment of provisional rating will remain key monitorables.
The rating continues to reflect strong and diversified portfolio of assets[1] proposed to be transferred to the trust. The portfolio has healthy revenue visibility, supported by operational track record of 6.5-12.5 years (barring assets belonging to the toll-operate-transfer bundle 3 [TOT 3]) as well as strong counterparty with 17 toll and one annuity concession from National Highways Authority of India (NHAI, rated ‘CRISIL AAA/Stable) and one toll concession from Andhra Pradesh Road Development Corporation (APRDC). Geographically diversified portfolio and strategically located stretches further strengthen the profile of CHT. These, coupled with adequate leverage, will result in strong debt protection metrics. As a large part of debt is proposed to be at the trust level, the debt servicing ability will be strengthened by cash flow pooling from all the projects. As per the proposed terms, the debt is expected to be capped at 49% of the trust’s valuation. Additionally, terms in the proposed financing documents stipulate maintenance of a three-month debt service reserve account (DSRA), three-month major maintenance reserve account (MMRA), cash trap if debt service coverage ratio (DSCR) falls below 1.25 times for trailing 12 months or if debt exceeds 49% of the trust enterprise value, providing liquidity cushion. The rating also derives strength from the experience of Cube in managing and maintaining road assets.
These strengths are partially offset by susceptibility of toll revenue to volatility in traffic volume and development or improvement of alternative routes or modes of transportation that could impact revenue and, in turn, DSCR. The DSCR will also remain susceptible to volatility in operations and maintenance (O&M) costs and interest rates. Nevertheless, the coverage indicators are likely to remain adequate in stress case scenarios as well.
[1] The trust will have an initial portfolio of 19 assets (17 NHAI toll, one APRDC toll and one NHAI annuity). It will have a ROFO to acquire six additional assets (NHAI hybrid annuity model), which will be tentatively after six months of the InvIT listing based on receipt of requisite approvals. |
Analytical Approach CRISIL Ratings has combined the business and financial risk profiles of CHT with its underlying SPVs. This is because the trust is expected to have direct control over these SPVs and will infuse funds in them (in the form of loans [InvIT Loan]) to repay outstanding debt [excluding SPV-level debt for Mahua-Bharatpur Expressways Ltd (MBEL), Andhra Pradesh Expressway Ltd (AEPL) and NAM Expressway Ltd (NAMEL), which shall continue]. Furthermore, the SPVs will distribute their entire surplus cash flow to the InvIT in the form of interest and repayment (on InvIT Loan) and dividend, leading to a highly fungible cash flow. Also, as per the financing terms, the cap on borrowings has been defined at a consolidated level; aggregate consolidated borrowing for the InvIT and its SPVs is restricted at 49% of the valuation.
Please refer Annexure - List of entities consolidated, which captures the list of entities considered and their analytical treatment of consolidation. |
Key Rating Drivers & Detailed Description Strengths:
The portfolio comprises 19 projects and benefits from asset and geographical diversification. Additionally, 18 projects have a strong counterparty, NHAI, while one has APRDC. The toll road projects have a long tolling track record between 6.5 to12.5 years (except for nine assets belonging to TOT 3, which started tolling by private party from March 2021), while the annuity project has a track record of receiving 25 semi-annual annuities without any material deduction. Around 94% of the revenue is contributed by 18 toll projects, while the remaining comes in from one annuity project.
All the assets are important routes connecting arterial cities with most stretches are the shortest routes between these destinations, running through 10 states and Delhi, contributing nearly 55-60% towards India’s total gross state domestic product (GSDP). Projects in the portfolio have a good mix of commercial (40%) and passenger (60%) traffic at a consolidated level; in terms of revenue, commercial traffic contributes 65% to the total toll collections of the InvIT. A few stretches have alternate routes; however, the risks are mitigated by long tolling track record, and hence, the diversion risks are already factored in the current collection numbers. CRISIL Ratings has adequately sensitised toll collections for risks emanating from foreseeable development of alternate routes or alternate modes of transport.
Only two projects have balance concession life of less than five years, while the remaining 17 assets have 10-28 years. Hence, revenue has long-term visibility. The trust will have a right of first offer (ROFO) over six more assets in the portfolio in tranche II, which is expected to be tentatively six months from listing of the InvIT subject to receipt of the requisite approvals. Additionally, the trust may continue to look for new opportunities for adding assets and further diversifying the portfolio over the medium term.
Of the 18 toll projects, 13 have an annual toll rate escalation with a fixed increase of 3% and a variable portion equal to only 40% change in wholesale price index (WPI), limiting dependence on WPI, thereby supporting revenue; four projects are linked directly to the WPI.
The portfolio has remained largely resilient during the pandemic. In fiscal 2021, traffic witnessed significant de-growth in only two out of 18 projects, while all others reported stagnant growth performance. The two projects that reported significant decline in traffic in fiscal 2021, Walayar Vadakkencherry Expressways Pvt Ltd and Western UP Tollway Pvt Ltd, reported healthy rebound in traffic performance in fiscal 2022. Further, the toll revenue has increased by 68.2% and 69.2% respectively in the first half (H1) of fiscal 2023 on a year-on-year (y-o-y) basis, driven by higher traffic and increased toll rates, due to high WPI. Another project, Nelamangala Devihalli Expressway Pvt Ltd, which had reported some de-growth in fiscal 2021, has also performed well since fiscal 2022, and reported 37.2% increase (y-o-y) in toll revenue in H1 of fiscal 2023.
In fiscal 2022, only one stretch reported material de-growth, while all others reported moderate to healthy traffic growth. Farakka Raiganj Highways Ltd reported traffic de-growth on account of extended rainfall and, thus, delays in mining activity. This stretch reported an 11.0% increase (y-o-y) in toll revenue in H1 of fiscal 2023.
Financial risk profile is expected to be healthy, supported by comfortable average DSCR through the tenure of the debt given healthy toll collection and moderate leverage; debt is expected at Rs 12,075 crore on the trust level. As a large part of the debt is expected to be at the trust level, debt servicing will be supported by cash flow pooling of all projects under the InvIT structure.
The proposed debt terms also require adequate liquidity cushion in the form of three months DSRA and MMRA each. Cash trap is stipulated if DSCR falls below 1.25 times or debt exceeds 49% of the trust value. Any transfer to the distribution account will be made only post meeting the debt obligation and DSRA and MMRA requirement and post testing of the financial covenants and meeting restricted payment conditions.
As per the InvIT guidelines, debt must not exceed 49% of the asset value (until six consecutive dividend distributions); this is built into the draft term sheet. The initial portfolio is estimated to have leverage comfortably below 49%.
CHT will benefit from the strong asset management ability of Cube, which in turn has extensive experience in the infrastructure space, including in India. Cube started its India operations in fiscal 2015 and acquired four assets in 2016 and 2017 and the remaining 13 assets in 2020 and 2021; these are now being transferred to the InvIT. Additionally, Cube has a well-equipped team of professionals to manage roads and maintenance activities. Cube manages 23 road assets over 8,400 lane kilometre (km) in India.
Weaknesses:
Toll collection is a major source of revenue and is susceptible to volatility because of toll leakages, competing routes, lack of timely increase in toll rates, fluctuations in WPI-linked inflation, seasonal variations in vehicular traffic and economic downturns. For instance, traffic and toll collection across stretches was affected by government policies such as demonetisation in fiscal 2017 and the nationwide lockdown following the Covid-19 pandemic in fiscal 2021.
While the stretches do not face any substantial threat from alternate routes as of now, improvement of these routes or development of alternate routes that may affect traffic and diversion, if any, on account of any of these will be key rating sensitivity factors.
The trust is exposed to risks related to maintenance of the projects in the underlying SPVs as per the specifications and within the budgeted costs. While the SPVs/CHT are expected to maintain MMRA equivalent to three months, any significant dip in toll collection or unplanned maintenance activity could result in cash flow shortfall during years of such maintenance and will remain a rating sensitivity factor.
The proposed rupee term debt shall have a floating interest rate, with monthly reset linked to benchmark. This exposes the trust to volatility in interest rates. Although the cushion in the cash flow will help partially absorb the impact of such fluctuations. However, it will remain a rating sensitivity factor. |
Liquidity: Superior Toll collections and annuity receipts will be adequate to meet operational expenses and debt obligation. Furthermore, DSRA equivalent to three months’ interest and principal obligation will be maintained along with MMRA equivalent to three months of expenses. Liquidity will also be supported by the cash trap provision if the DSCR falls below 1.25 times for trailing 12 months or if debt exceeds 49% of the trust value. |
Outlook: Stable CRISIL Ratings believes that CHT will continue to generate healthy toll revenue over the medium term, backed by good traffic potential on the project stretches. |
Rating Sensitivity factors Downward factors ● Lower-than-expected toll revenue by more than 10% on sustained basis or higher-than-expected maintenance cost affecting DSCR ● Higher-than-expected incremental borrowings ● Non-adherence to the structural features of the proposed transaction ● Non-maintenance of adequate liquidity reserve in the form of three-month DSRA and MMRA ● Acquisition of weak assets with high debt and low revenue potential impacting overall DSCR |
Additional disclosures for the provisional rating The provisional rating is contingent upon occurrence of the following:
The ‘provisional’ rating shall be converted into a final rating after receipt of transaction documents duly executed and confirmations on completion of pending steps within 90 days from the date of completion of offer through which the InvIT completes its fundraising and issues units.
The ‘final’ rating assigned post conversion shall be consistent with the available documents and completed steps. In case of non-completion of steps or non-receipt of the duly executed transaction documents within the specified timelines, the rating committee of CRISIL Ratings may grant an extension of up to another 90 days in line with its policy on provisional ratings. |
Rating that would have been assigned in the absence of the pending documentation In the absence of pending steps/documentation considered while assigning the provisional rating as mentioned above, CRISIL Ratings would not have assigned any rating. |
Risks associated with the provisional rating: A prefix of 'Provisional' to the rating symbol indicates that the rating is contingent upon occurrence of certain steps or execution of certain documents by the issuer, as applicable. In case the documents received and/or completion of steps deviates significantly from expectations, CRISIL Ratings may take an appropriate action including placing the rating on watch or a rating/outlook change, depending on the status of progress on a case-to-case basis. In the absence of the pending steps/documentation, the rating on the instrument would not have been assigned ab initio.
Additional disclosures in case of provisional ratings for InvIT The broad details of the assets that are proposed to be held by CHT are as follows:
Andhra Pradesh Expressway Ltd The project operates a 75- kilometer (km) stretch between Kurnool and Kothakota on National Highway (NH) 44 (erstwhile NH 7) in Andhra Pradesh / Telangana under build-operate-transfer (BOT) annuity mode. The project has a track record of receiving 25 semi-annual annuities on time without any material deduction.
Western UP Tollway Ltd The project is a 78-km four-lane operational toll road on NH 334 (erstwhile NH 58) connecting Meerut and Muzaffarnagar in the northern part of India on a BOT toll basis. It has been operational since April 2011 with more than nine years of tolling history. The project stretch operates under a 20-year concession awarded by NHAI in 2005 for strengthening and widening of the two-lane road to a four-lane divided carriageway and has remaining concession life of close to five years. Traffic registered compounded annual growth rate (CAGR) of 5.7% between fiscals 2016 and 2022. The project reported 69.2% increase in toll revenue in H1 fiscal 2023 over corresponding period in the previous fiscal. There are no alternate routes to the project road.
Jaipur-Mahua Tollway Ltd The 109-km stretch is on the Jaipur Agra NH 21 (erstwhile NH 11) in Rajasthan under the BOT toll with a 25-year concession, awarded by NHAI, after competitive bidding in 2005 for widening of the two-lane road to a four-lane divided carriageway on a BOT toll basis. The project has a well-established operational history of collecting toll since May 2009 and has remaining concession life of more than nine years. Traffic registered CAGR of 5.7% between fiscals 2016 and 2022. The project reported 22.0% increase in toll revenue in H1 of fiscal 2023 over corresponding period in the previous fiscal. There are no alternate routes to the project road.
Mahua-Bharatpur Expressways Ltd The project is a 57-km stretch on the Jaipur Agra NH 21 (erstwhile NH 11) in Rajasthan under the BOT toll, linking Mahua to Bharatpur. Along with Jaipur-Mahua, it operates as a contiguous stretch of 166 km connecting two growing urban centres, Jaipur and Agra, on NH 11.
The project stretch is a 25-year concession awarded by NHAI after competitive bidding in 2005 for widening of the two-lane road to a four-lane divided carriageway on a BOT toll basis. The project has a well-established operational history of collecting tolls since May 2009, with remaining concession life of more than nine years. Traffic registered CAGR of 7.7% between fiscals 2016 and 2022. The project reported 26.5% increase in toll revenue in H1 of fiscal 2023 over corresponding period in the previous fiscal. There are no alternate routes to the project road.
Farakka Raiganj Highways Ltd The project is a 100-km four-lane toll road connecting Farakka and Raiganj in West Bengal. It is a 30-year toll concession awarded by NHAI after competitive bidding in 2010 for widening of a two-lane highway to a four-lane configuration on a BOT toll basis. The project has a well-established operational history of collecting toll since October 2016, with remaining concession life of close to 19 years. There are two alternate routes, but they do not pose any threat. Traffic registered CAGR of 7.6% between fiscals 2018 and 2022. The project reported 11.0% increase in toll revenue in H1 of fiscal 2023 over corresponding period in the previous fiscal.
Walayar Vadakkencherry Expressways Pvt Ltd The project is a 53.5-km four-lane toll road connecting Walayar on the border of Tamil Nadu and Kerala. After competitive bidding in 2012, the project was awarded by NHAI as a 20-year concession for strengthening and widening a two-lane highway to a four-lane configuration on a toll basis. The project has a well-established operational history of collecting toll since May 2015, with remaining concession life of close to 15 years. Traffic registered CAGR of 15.4% between fiscals 2016 and 2022. The project reported 68.2% increase in toll revenue in H1 fiscal 2023 over corresponding period in the previous fiscal. There are no alternate routes to the project road.
DA Toll Road Pvt Ltd The project is a 179.5-km six-lane toll road connecting Delhi with Agra on NH 2. It is a 26-year toll concession granted in 2010 for strengthening and widening the four-lane highway to a six-lane configuration. The project has a well-established operational history of collecting toll since October 2012 and has remaining concession life of close to 22 years.
Traffic registered CAGR of 15.9% between fiscals 2016 and 2022. The project reported 40.1% increase in toll revenue in H1 of fiscal 2023 over corresponding period in the previous fiscal. There are three alternate routes to the project road, two of which do not pose any threat. Yamuna Expressway, however, provides a cheaper alternative to users. The project received provisional commercial operation date on May 19, 2022.
Nelamangala Devihalli Expressway Pvt Ltd The project is an 80-km four-lane toll road connecting Nelamangala and Devihalli in Karnataka. It was awarded by NHAI as a 25-year concession for strengthening and widening a two-lane highway to a four-lane configuration on a BOT toll basis. The project has a well-established operational history of collecting toll since June 2012, with remaining concession life of close to 11 years. Traffic registered CAGR of 5.7% between fiscals 2016 and 2022. The project reported 37.2% increase in toll revenue in H1 of fiscal 2023 over corresponding period in the previous fiscal. There are no alternate routes to the project road.
Hazaribagh Tollway Ltd The project is a 73.8-km four-lane toll road connecting Hazaribagh to Ranchi in Jharkhand. It was awarded by NHAI as a 30-year concession as part of TOT 3 after competitive bidding in November 2019. While traffic registered de-growth of 3.9% in 2022, toll revenue registered an increase of 19.9% in H1 of fiscal 2023 over corresponding period in the previous fiscal. There is an alternate two-lane route, but it is in poor condition; expected strengthening in 2027 may lead to diversion in traffic.
Jhansi Lalitpur Tollway Ltd The project is a 49.7-km four-lane toll road in Uttar Pradesh. The road forms the first part of two contiguous stretches connecting Jhansi to Lalitpur. The project was awarded by NHAI as a 30-year concession as part of the TOT 3 bundle after competitive bidding in November 2019. Traffic registered y-o-y growth of 33.9% in 2022, and toll revenue registered an increase of 27.6% in H1 of fiscal 2023 over corresponding period in the previous fiscal. There are no alternate routes to the project road. Delhi-Mumbai Expressway (expected to become operational in fiscal 2025) may act as feeder route for the stretch.
Jhansi Vigakhet Tollway Ltd The project is a 49.3-km four-lane toll road in Uttar Pradesh. The road forms the second part of two contiguous stretches connecting Jhansi to Lalitpur. The project was awarded by NHAI as a 30-year concession as part of the TOT 3 bundle after competitive bidding in November 2019. Traffic registered y-o-y growth of 33.4% in 2022, and toll revenue registered an increase of 27.8% in H1 of fiscal 2023 over corresponding period in the previous fiscal. There are no alternate routes to the project road. Delhi-Mumbai Expressway (expected to become operational in 2025) may act as feeder route for the stretch.
Kotwa-Muzaffarpur Tollway Ltd The project is an 80.0-km four-lane toll road connecting Kotwa to Muzaffarpur in Bihar. The project was awarded by NHAI as a 30-year concession as part of the TOT 3 bundle after competitive bidding in November 2019. Traffic registered de-growth of 4.4% in 2022 because of decline in commercial traffic. However, toll revenue registered an increase of 13.2% in H1 of fiscal 2023 over corresponding period in the previous fiscal. Also, there is a shorter alternate route (state highway 74), but it passes through a congested network and the impact on this stretch’s traffic is not envisaged. Strengthening of another alternate route (expected in fiscal 2030) may lead to diversion.
Lucknow Raebareli Tollway Ltd The project is a 70.0-km four-lane toll road connecting Lucknow to Raebareli in Uttar Pradesh. The project was awarded by NHAI as a 30-year concession as part of the TOT 3 bundle after competitive bidding in November 2019. There is an alternate route, but its impact is minimal because a large part of the traffic is localised. Traffic registered y-o-y growth of 17.5% in 2022. However, toll revenue registered a decline of 7.5% in H1 of fiscal 2023 over corresponding period in the previous fiscal.
Madurai Kanyakumari Tollway Ltd The project is a 52.3-km four-lane toll road in Tamil Nadu. The road forms the first part of four contiguous stretches connecting Madurai to Kanyakumari. The project was awarded by NHAI as a 30-year concession as part of the TOT 3 bundle after competitive bidding in November 2019. Traffic registered y-o-y growth of 0.9% in 2022 because of lower passenger traffic. Further, the toll revenue registered an increase of 42.3% in H1 of fiscal 2023 over corresponding period in the previous fiscal. There are alternate routes for Kerala and Thoothukudi port-bound traffic, and possible diversion has already happened.
Kanyakumari Etturavattam Tollway Ltd The project is a 64.2-km four-lane toll road in Tamil Nadu. The road forms the second part of four contiguous stretches connecting Madurai to Kanyakumari. The project was awarded by NHAI as a 30-year concession as part of the TOT 3 bundle after competitive bidding in November 2019. Traffic registered y-o-y growth of 0.8% in 2022 because of lower passenger traffic. Further, the toll revenue registered an increase of 38.3% in H1 of fiscal 2023 over corresponding period in the previous fiscal. There are alternate routes for Kerala and Thoothukudi port-bound traffic, and possible diversion has already happened.
Salaipudur Madurai Tollway Ltd The project is a 63.5-km four-lane toll road in Tamil Nadu. The road forms the third part of four contiguous stretches connecting Madurai to Kanyakumari. The project was awarded by NHAI as a 30-year concession as part of the TOT 3 bundle after competitive bidding in November 2019. Traffic registered de-growth of 0.8% in 2022 because of lower passenger traffic. However, toll revenue registered an increase of 43.0% in H1 of fiscal 2023 over corresponding period in the previous fiscal. There are alternate routes for Kerala and Thoothukudi port-bound traffic, and possible diversion has already happened.
Nanguneri Kanyakumari Tollway Ltd The project is a 63.5-km four-lane toll road in Tamil Nadu. The road forms the fourth part of four contiguous stretches connecting Madurai to Kanyakumari. The project was awarded by NHAI as a 30-year concession as part of the TOT 3 bundle after competitive bidding in November 2019. Traffic registered de-growth of 0.3% in 2022 because of lower passenger traffic. However, toll revenue registered an increase of 43.6% in H1 of fiscal 2023 over corresponding period in the previous fiscal. There are alternate routes for Kerala and Thoothukudi port-bound traffic, and possible diversion has already happened.
Ghaziabad Aligarh Expressway Pvt Ltd The project is a 125-km four-lane toll road connecting Ghaziabad to the Aligarh section of NH-91 in Uttar Pradesh. It is a 24-year toll concession awarded by NHAI after competitive bidding in 2010 for widening of a two-lane highway to a four-lane configuration on a BOT toll basis. The project has a well-established operational history of collecting toll since fiscal 2016, with remaining concession life of close to 18 years. There are three alternate routes, and possible diversion has already happened and does not pose any further threat. Traffic registered CAGR of 4.04% between fiscals 2016 and 2022. The project reported 16.4% increase in toll revenue in H1 of fiscal 2023 over corresponding period in the previous fiscal.
Cube will also undertake six-laning of the project highway as stipulated in the Concession Agreement (CA) once acquisition is complete. Six-laning has to be completed by November 2023 (including extension) as per CA. The six-laning will not lead to any traffic or revenue growth.
NAM Expressway Ltd The project is a 212-km four-lane road stretch on State Highway-2 between Andhra Pradesh and Telangana, connecting Narketpally and Medarametla. It was awarded after competitive bidding in 2010 with a concession period of 24 years and has a well-established operational history of collecting tolls since March 2014, with remaining life of 18 years. The road is a part of the North South Road network in India and is the shortest route between Chennai and Hyderabad. There are two alternate routes, but they do not pose any threat. Traffic registered CAGR of 5.7% between fiscals 2016 and 2022. The project reported 34.0% increase in toll revenue in H1 of fiscal 2023 over corresponding period in the previous fiscal. |
About the Company CHT is registered as an irrevocable trust under Indian Trust Act, 1882, and as an InvIT under the SEBI Infrastructure Investment Trust Regulations, 2014, since April 22, 2022. CHT is sponsored by CHI, which is invested in by Cube and is expected to acquire an initial portfolio of 19 operational projects with 18 toll and one annuity road.
Cube is a Singapore-based company that invests in roads and highway projects and other select infrastructure sectors in India. It is an independent, professionally managed platform that leverages the extensive transportation experience of its management and execution advisory teams; its shareholders are leading international investors, including I Squared Capital, a wholly owned subsidiary of the Abu Dhabi Investment Authority, International Finance Corporation and a consortium of Japanese investors (Japanese Highways International), which include Mitsubishi Corporation, Japan Overseas Infrastructure Investment Corporation for Transport and Urban Development, East Nippon Expressway Company Ltd and Japan Expressway Company International Ltd. |
Key Financial Indicators
*Financial indicators not meaningful, as CHT was incorporated in April 2022 and assets are yet to be acquired |
Any other information CRISIL Ratings has received an undertaking from CHT stating that key details (assets, location, capital structure, aggregate leverage and other key assumptions) of the initial portfolio of the 19 assets are in consonance with the details that will be submitted to SEBI. Key terms of the proposed debt
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Note on complexity levels of the rated instrument: |
Annexure - Details of Instrument(s)
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Annexure – List of entities consolidated
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Criteria Details
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