Brookfield India REIT IPO subscribed 8 times on final day

By Swet Sarika

  • 05 Feb 2021
Credit: VCCircle

The initial public offering of Brookfield India REIT was subscribed almost 8 times on the final day on Friday with good response across institutional and retail categories. 

The real estate investment trust of Canadian investor Brookfield Asset Management saw 4.80 times subscription in the institutional category while the retail segment was subscribed 11.78 times. Overall, the units were subscribed 8 times. 

Ahead of the IPO, the REIT raised Rs 1,710 crore from anchors -- mutual funds and insurance companies. 

The IPO opened on 3 February and closed on 5 February. 

The REIT was aiming to raise Rs 3,800 crore (about $520 million) through the issuance of fresh units.

This is the third such public offering after Embassy Office Parks REIT, a joint venture between Bengaluru-based Embassy Group and private equity giant Blackstone, and Mindspace REIT backed by K Raheja and Blackstone.

The IPO of Brookfield India REIT had a price band of Rs 274-275 apiece.

The REIT has an initial portfolio of 14 million square feet (msf) with the call option to acquire another 8.3 msf and rights of first offer on an additional 6.7 msf, both currently owned by members of the Brookfield Group.

Of the initial portfolio of 14 msf, the REIT has 9.8 msf of completed area, while 0.6 msf is under-construction and 3.6 msf has development potential.