On Monday, Investment major KKR launched its highway infrastructure investment trust (InvIT), the Highway Infrastructure Trust (HIT). It is the company’s third InvIT, with a combined asset value of USD 3.8 billion.

The company said that India Grid Trust, HIT, and Virescent Renewable Energy Trust jointly cover 33 assets in 22 states. An investment trust (or closed-end trust) pools its shareholders’ funds and invests them in a diversified portfolio of securities.

HIT’s portfolio comprises six road assets having a total length of more than 450 kilometres across six states in India, including Gujarat, Madhya Pradesh, Meghalaya, Rajasthan, Tamil Nadu, and Telangana.

Currently, 19 InvITs are registered with the market regulator Securities and Exchange Board of India (SEBI). The majority of them are in the segment of the highway. Before KKR, Cube Highways, IRB Infrastructure, and the National Highways Authority of India had launched highway investment trusts.

The company has stated that dedicated platforms across transmissions, roads, and renewables are in place. Accordingly, KKR is set to collaborate with sellers in the private markets and the government through the National Monetisation Pipeline on attractive investment opportunities.

Founded in 1976, the US-based KKR & Co. Inc (Kohlberg Kravis Roberts) manages multiple alternative asset classes, including infrastructure, private equity, energy, real estate, credit, and hedge funds.