Citius TransNet InvIT IPO: Price band fixed at Rs 99-100; check dates and 5 key details

Citius TransNet Investment Trust, a transport sector-focused infrastructure investment trust, is all set to open its public offering for public bidding on Friday, April 17.

Citius TransNet IPO is entirely a fresh issue worth Rs 1,105 crore as the company aims to utilize the raised proceeds for new acquisitions and issue-related expenses. The share price band for the offer has been fixed at Rs 99 to Rs 100, with the grey market premium of the stock standing flat currently.

The issue will close on Tuesday, April 21 and is expected to hit the bourses on April 29.

Here are the five key details you should know about the Citius TransNet IPO:

#1 Citius TransNet IPO: Offer Size and BRLMS

The IPO is entirely a fresh issue worth Rs 1,105 crore as the company will issue 11.05 crore equity shares with a face value of Rs 10 each. Axis Capital, Ambit Private, and ICICI Securities are the book-running lead managers for the issue, while KFin Technologies is the registrar to the offer.

#2 Citius TransNet IPO: Key Dates

Citius TransNet IPO will open for bidding on Friday, April 17, bid for three days, and close on Tuesday, April 21. Investors cannot bid on weekends as stock markets are closed.

Tentatively, share allotment is expected by Friday, April 24, and eligible shareholders will receive the shares in their demat accounts by Monday, April 27. The refund process is expected to be completed by the latter date as well. The company is likely to list on NSE and BSE by Wednesday, April 29.

#3 Citius TransNet IPO: Lot size

Retail applicants can bid for one lot comprising 150 shares and its multiples thereafter.

#4 Citius TransNet IPO: Utilization of proceeds

Of the total float, the company will utilise Rs 1,000 crore for the partial and full acquisitions of securities in SRPL and other identified projects of TEL, JSEL, Dhola, and Dibang, comprising equity shares, compulsorily convertible preference shares, compulsorily convertible debentures, and non-convertible debentures.

The remaining balance will be used to pay off offer-related expenses like fees and commission payable to the advisors of the issue.

#5 Citius TransNet IPO: Key Risk factors

According to the company’s RHP, the trust and investment managers may not be able to generate sufficient cash flow due to a lack of operating track record. Also, the company has incurred losses for the previous three fiscal years, making it vulnerable to further such risks in the future.

Risk of revenue concentration in a few SPVs, adverse developments in this sector, disruption in toll revenue, and traffic volumes should also be looked int