Cube Highways Trust Files For ₹5,000 Crore OFS-Only IPO

Cube Highways Trust is preparing to launch its ₹5,000 crore initial public offering (IPO) later this month, according to people familiar with the matter.

The issue will be entirely an offer for sale (OFS), meaning existing investors will sell their holdings and the trust itself will not receive any fresh capital from the offering.

The proposed listing is aimed at widening the investor base and improving trading liquidity for the infrastructure investment trust (InvIT). Draft papers show that the Cube Highways Trust IPO has been structured solely as an OFS.

What Does Cube Highways Trust Own?

As of 31 March 2026, Cube Highways Trust managed 27 operational highway assets covering 8,754 lane kilometres across 12 states and one Union Territory. The portfolio has an average residual concession life of 18 years, providing long-term visibility on cash flows.

In its FY26 annual report, Chief Executive Officer Vinay C Sekar said the trust remains focused on disciplined acquisitions, predictable distributions, financial prudence and operational efficiency.

The portfolio is largely made up of toll roads, which account for around 85% of its assets. These roads benefit from rising traffic and periodic toll hikes linked to inflation. The remaining 15% of the portfolio consists of annuity projects that receive fixed payments from the National Highways Authority of India (NHAI).

Financial Position And Expansion Plans

Cube InvIT paid a distribution of ₹13.77 per unit for FY26, taking the total payout for the year to ₹1,851 crore.

During the year, the trust completed nine acquisitions, pushing its assets under management to ₹36,842 crore. As of March-end, it had net debt of ₹17,768 crore, while its net debt-to-enterprise value ratio stood at 46.82%.

The trust has also signed commitment letters for four highway projects with a combined enterprise value of around ₹7,300 crore. If these deals go through, its portfolio will increase from 27 assets to 31, covering 13 states and one Union Territory.

Apart from these projects, Cube InvIT holds the right of first offer on three assets owned by its sponsors. Those assets could be added to the portfolio at a later stage if the trust decides to pursue them.

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