India Grid Trust, the second infrastructure investment trust to get listed, debuted at a slight discount to its issue price of ₹100 and then fell to as low as ₹93.7 (6.3 per cent) intraday.

The trust closed down about 1.4 per cent on the NSE.

IRB still below issue price

Earlier, IRB’s trust made a tepid debut. It has closed lower in nine out of fourteen trading sessions and is still trading below the issue price of ₹102.

A chief investment officer at a corporate backed mutual fund attributed the tepid performance to aggressive pricing of the IPOs and high growth assumptions. Binod Modi, analyst at Reliance Securities pointed out that it will take time (one to two years) to increase confidence of investors as everybody wants to understand the concept.

IndiGrid is an infrastructure investment trust promoted by power transmission asset operator Sterlite Power Grid Ventures and established to own inter-State power transmission assets in India. India Grid IPO worth ₹2,250 crore was subscribed only 1.35 times versus 8.6 times for the IRB InvIT Fund.

Forthcoming IPOs

Infrastructure companies such as GMR Infrastructure, Reliance Infrastructure InvIT, MEP Infrastructure Developers and IL&FS Transportation InvIT have also lined up their infrastructure investment funds for listing.