The Competition Commission of India (CCI) has approved a landmark infrastructure deal involving Anantam Highways Trust (InvIT), Alpha Alternatives Fund Advisors LLP, Dilip Buildcon (DBL), and DBL Infraventures (DIPL).
This deal is set to reshape India’s highway asset investment landscape and marks a strategic shift toward monetising operational road projects through infrastructure investment trusts.
What the Deal Entails
The proposed transaction involves Anantam Highways Trust acquiring stakes in multiple special purpose vehicles (SPVs) operating highway projects across India.
Specifically, the InvIT will acquire:
- 100% shareholding in eight SPVs including Dodaballapur Hoskote Highways Ltd., Repallewada Highways Ltd., Dhrol Bhadra Highways Ltd., Narenpur Purnea Highways Ltd., Villuppuram Highways Ltd., Bangalore Malur Highways Ltd., Malur Bangarpet Highways Ltd., and DPJ Pollachi HAM Project Pvt. Ltd.
- 49% shareholding in PHL
As consideration, shareholders of these SPVs — including DBL, DIPL, and Alpha Alternatives (Sponsor Group) — will be allotted units in the InvIT once it is listed.
Anantam Highways Trust is a registered InvIT under SEBI regulations since August 2024. It is a contributory, determinate, and irrevocable trust formed under the Indian Trusts Act, 1882.
Its sponsor, Alpha Alternatives, is an Indian LLP offering portfolio management and investment advisory services. It specializes in asset management across sectors, with a growing focus on infrastructure investments through InvITs and alternative funds.
Understanding the Key Players
Dilip Buildcon (DBL) is a major player in India’s infrastructure sector. The company operates across segments such as:
- Road and highway construction
- Water supply and irrigation projects
- Metro and airport construction
- Tunnel and mining EPC projects
- Special bridges and urban development
Its subsidiary, DIPL, fully owned by DBL, helps in executing these projects and managing road assets under BOT (Build-Operate-Transfer) contracts across 19 states and 1 Union Territory.
Why This Deal Matters
This approval is more than just a green signal for a transaction. It represents a growing trend in India’s infrastructure space — asset monetization via InvITs.
By transferring ownership to a trust, infrastructure companies like DBL can free up capital for new projects while continuing to earn returns through trust units.
Meanwhile, investors gain access to stable, long-term returns backed by toll or annuity-based road revenues.
Boost to Infrastructure Investments
InvITs are becoming essential tools for financing India’s ambitious infrastructure goals. According to SEBI, InvITs provide an organized platform for public and institutional investors to invest in infrastructure projects.
In this case, Anantam Highways Trust stands to gain from acquiring fully operational assets, offering lower risk and predictable cash flows. The deal also aligns with the National Monetisation Pipeline (NMP) vision, which aims to unlock capital tied up in operational infrastructure assets.
What CCI Said
While the detailed CCI order is awaited, its preliminary approval indicates no concerns regarding competition or market dominance. The Commission found that the proposed combination does not significantly affect competition in India’s infrastructure or road transport sector.
Looking Ahead
The transaction sets a precedent for future deals in the sector. With more InvITs like Anantam entering the market, the Indian infrastructure space is likely to see deeper financial innovation and greater private sector participation.
Moreover, the deal reinforces the credibility of InvITs as a strong capital recycling mechanism, especially in asset-heavy businesses like road construction.