The National Bank for Financing Infrastructure and Development (NaBFID) has made a historic investment of INR 7,450 million in long-term bonds issued by NDR InvIT, an Infrastructure Investment Trust (InvIT) run by NDR InvIT Managers and supported by NDR Warehousing Private Limited. This investment highlights the bank’s faith in India’s infrastructure growth story. NDR InvIT’s crucial role in developing India’s warehouse and industrial park sector—a vital part of the country’s economic infrastructure—is highlighted by these 15-year bonds, which have been rated AAA/Stable by India Ratings (FITCH) and CARE.
The funding will expedite NDR InvIT’s strategic expansion plans, enabling the construction of top-notch, environmentally friendly industrial parks and storage facilities throughout India’s main growth corridors. This investment places NDR InvIT as a key player in filling important infrastructure gaps, as the need for strong logistics infrastructure soars due to the exponential growth of e-commerce and the rapid expansion of manufacturing. This collaboration reaffirms NDR InvIT’s dedication to providing cutting-edge, environmentally friendly infrastructure solutions that align with India’s goal of modernized supply chains that underpin its economic aspirations.
The investment comes at a time when India’s logistics and warehousing sectors are poised for exponential growth. According to a recent report by Motilal Oswal, the Indian logistics market, valued at INR 9 trillion in FY23, is projected to grow to INR 13.4 trillion by FY28, registering a compounded annual growth rate (CAGR) of 8-9%. Additionally, as per IBEF, the Indian warehousing market is predicted to reach US$ 34.99 billion (INR 2,872.10 billion) by 2027, expanding at an impressive CAGR of 15.64% from 2022 to 2027. These trends highlight the critical role of infrastructure investments in bridging gaps and meeting the surging demand for advanced logistics and warehousing facilities.
Commenting on the investment, Krishnan Iyer, CEO, NDR InvIT Managers, said, this collaboration with NaBFID marks a major advancement in our quest to become a key facilitator of India’s industrial development. We will be able to take advantage of market opportunities, bolster our portfolio, and provide top-notch infrastructure that stimulates economic growth thanks to the money raised. The chances this presents to support India’s infrastructure objectives and provide long-term value for our stakeholders excite us.
Sandeep Jain, CFO, NDR InvIT Managers, added, “This bond issuance’s success is evidence of NDR InvIT’s sound financial standing and institutional investors’ faith in our long-term expansion plan. This long-term bond’s issuance highlights our capacity to obtain consistent funding on favorable conditions, which sets us apart in the infrastructure investment market. We will be able to strategically grow our portfolio, improve our operational capabilities, and solidify our position as a market leader in storage and industrial parks thanks to this investment.”
About NDR:
NDR InvIT Trust, is the first ‘Perpetual Warehousing and Industrial Parks’ InvIT to be listed in the Indian Stock Exchange (NSE). The Trust’s AUM currently at 16.99 msf, is spread across 13 cities, 33 industrial parks, with 50+ warehouses, that facilitates 85 clients. The InvIT’s tenant mix is well diversified, across third-party logistics providers (3PL), e-commerce, home appliances, engineering, automobiles & auto ancillaries, retail, and fast-moving consumer goods (FMCG). At NDR InvIT Trust, we contribute to the country’s sustainable economic and social growth by strategically managing infrastructure investments.
