Brookfield India Real Estate, India’s only 100% only institutionally managed office REIT, announced that it has successfully completed a capital raise of Rs 3,500 crore (c.US$ 415 million) through a qualified institutional placement of units.
The placement saw strong demand from marquee long - term investors including a mix of foreign institutions, mutual funds, and life insurance companies. The issue marked the first REIT investments in India from the International Finance Corporation (part of the World Bank group) and Life Insurance Corporation of India. Other anchor investors included SBI Mutual Fund and ICICI Prudential Mutual Fund. The total demand secured from investors was over Rs 5,200 crore, of which Rs 3,500 crore was allotted.
“We are pleased to welcome new investors and thank the institutions that have shown their support towards our REIT. The diverse demand we saw reflects the trust in our strategy and the strong portfolio we’ve built in India. and underlines our ability to raise institutional capital.” said Ankur Gupta, Managing Partner, Head of Real Estate for the Asia Pacific region at Brookfield.
“The funds raised will be used primarily for reduction of leverage creating headroom for acquiring high-quality assets, enabling us to execute on our long-term strategic vision and deliver value to our unitholders," said Alok Aggarwal, Chief Executive Officer and Managing Director, Brookfield India Real Estate Trust.
The Issue Committee of the Board of Directors of Brookprop Management Services Private Limited, the manager of Brookfield India Real Estate Trust, approved the issuance and allotment of 12.77 crore new units through this QIP on December 12, 2024.
This is the second institutional placement by the Brookfield India Real Estate Trust since its IPO. In August 2023, BIRET raised over Rs. 2,300 crores through QIP to acquire Brookfield’s Downtown Powai, Mumbai, and Candor TechSpace (G1) Gurugram from Brookfield Asset Management’s private real estate funds in an equal partnership with GIC.
Kotak Mahindra Capital Company Limited, Avendus Capital Private Limited and Elara Capital (India) Private Limited served as the lead managers for the issue.
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