NE BUSINESS BUREAU
MUMBAI, JAN 29
Brookfield India Real Estate Trust (REIT), backed by Canadian asset manager Brookfield Asset Management, open its Initial Public Offering (IPO) on February 3.
The company in consultation with merchant bankers has fixed the price band at Rs 274-275 per unit. Investors, other than anchor investor, can bid for a minimum of 200 units and in multiples of 200 units thereafter, which translated into a minimum application size for retail investors at Rs 55,000 at the upper price band.
Brookfield’s offering is the third REIT IPO after Mindspace Business Parks REIT in 2020 and Embassy Office Parks REIT in 2019.
Brookfield aims to raise Rs 3,800 crore via the issue that closes on February 5.
Not less than 25% of the Issue shall be available for allocation on a proportionate basis to Non-Institutional Investors, in accordance with the REIT Regulations and the SEBI Guidelines, subject to valid Bids being received at or above the Issue Price. The Manager in consultation with the Lead Managers, may retain oversubscription in the Issue in accordance with the REIT Regulations and the SEBI Guidelines.
The company will utilise the funds to repay debts. Brookfield REIT is the India’s only institutionally managed public commercial real estate vehicle. Its initial portfolio comprises 14.0 million square feet (msf), with rights to acquire a further 8.3 msf and rights of first offer on an additional 6.7 msf, both currently owned by members of the Brookfield Group.
The company owns an initial portfolio of four large campuses-format office parks located in some of India’s key gateway markets – Mumbai, Gurugram, Noida and Kolkata.
BSREP V is the sponsor, Brookprop Management Services the manager and Axis Trustee Services acts as the trustee to the REIT.
The global co-ordinators and book running lead managers to the issue are Morgan Stanley India Company, BofA Securities India, Citigroup Global Markets India, HSBC Securities and Capital Markets India. Ambit, Axis Capital, IIFL Securities, JM Financial, JP Morgan India, Kotak Mahindra Capital and SBI Capital Markets are the book running lead managers to the issue.
