The initial public offering of Nexus Select Trust, the real estate investment trust that operates under Nexus Malls, was more than five times covered at close on the third and final day of bidding.
The offering of 185.26 million units, excluding anchor allotment, was subscribed 5.45 times as it got bids for 1.01 billion units, stock exchange data showed. The IPO opened for subsciption on May 9.
Nexus Malls, owned by private equity giant Blackstone, is the first retail REIT in India to float an IPO. The share sale comes at a time when market volatility and macroeconomic concerns have prompted several companies to either delay or tweak their listing plans in India.
The REIT's IPO is the second-biggest in India this year. It trails the share sale of drugmaker Mankind Pharma, which raised Rs 4,326 crore.
Nexus Malls is seeking a valuation of about $3 billion and is raising a total of Rs 3,200 crore (about $390 million) from the share sale. This comprises a fresh issue of Rs 1,400 crore and an offer of sale by Blackstone of Rs 1,800 crore.
Ahead of the IPO, the REIT sold almost 144 million units to anchor investors at Rs 100 per unit. The anchor investors included Tata Investment Corp, HDFC and ICICI mutual funds as well as HDFC Life Insurance, SBI Life Insurance, Star Health and SBI General Insurance.
Nexus Malls owns and operates 17 commercial properties across 13 cities. Last month, iPhone maker Apple Inc opened its second fully-owned store in the country in a Nexus-owned shopping mall in New Delhi.
The REIT is set to list on the stock exchanges on May 19.
Axis Capital, IIFL Securities and BofA Securities India were among the bankers that managed the IPO.
