Brookfield REIT garners Rs 1,710 crore from anchor investors ahead of IPO
The Rs 3,800-crore initial public offering of India s only 100 percent institutionally managed public commercial real estate vehicle will open for subscription on February 3 and close on February 5. February 03, 2021 / 04:05 PM IST
Brookfield India Real Estate Trust (Brookfield REIT) on February 2 raised Rs 1,710 crore from 39 anchor investors ahead of its IPO opening.
The company in consultation with merchant bankers and selling shareholders finalised allocation of 6,21,80,800 units to anchor investors at Rs 275 per unit, the higher price band.
Schroder Global Cities Real Estate, BNP Paribas, Morgan Stanley, DSP Adiko Holdings, Societe Generale, Coronation Global Managed Fund, IA Opportunities and Moon Capital were among the foreign investors that participated in the anchor book.
The government on Monday allocated a higher share of the budget to capital expenditure than it has for over a decade, aiming to help push investments amid a pandemic slowdown. Around 15.91 per cent of the budget is for capital expenditure: it was 13.55 per cent last year. The calculations are based on budget estimates. Capital expenditure refers to money spent on the creation of assets for future use like roads and buildings for health facilities. Revenue expenditure includes things like interest payments and salaries that the government pays on an ongoing basis. The share of the budget devoted to the creation of long-term assets or capital expenditure has been on the decline in recent years. It had touched 19.3 per cent in the budget estimates for the financial year 2004-05 (FY05). This declined to 12.15 per cent in FY20. This was the lowest in ten years. It was 12.11 per cent in FY10. The previous high before this year s number was 18.02 per cent in FY08.
Embassy REIT raises $501 m via QIP route
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The funds will be utilised to support the proposed $1.3-billion acquisition of Embassy TechVillage, an integrated office park in Bengaluru.
Through this QIP, existing investors like the Capital Group and Fidelity Investments have increased their holdings in the REIT, which is one of the largest in Asia by area.
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The Blackstone Group and Embassy Group-backed India’s first listed REIT, Embassy Office Parks REIT, has raised $501 million or Rs 3,680 crore through a Qualified Institutional Placement of its units.
The funds will be utilised to support the proposed $1.3-billion acquisition of Embassy TechVillage, an integrated office park in Bengaluru.
MUMBAI | BENGALURU: Embassy Office Parks REIT is looking to raise $500 million through a Qualified Institutional Placement (QIP), said two persons with direct knowledge of the development.
This will be the first fund raising exercise being undertaken by the Blackstone Group and Embassy Group-backed REIT since its listing in April 2019.
The funds raised through this institutional placement will be utilised to support the proposed $1.3 billion acquisition of the Embassy TechVillage, an integrated office park in Bengaluru.
“The fundraising will be done through international and domestic institutions starting tonight itself. The indicative price for the issue will be in the range of Rs 331 to Rs 335 per REIT unit,” said one of the persons mentioned above.