Embassy Office Parks' public issue, the country's first real estate investment trust (REIT) offering, has been subscribed 20 percent on the first day of bidding on Monday.

Share Market Live

NSE

The REIT issue has received bids for 1,39,30,400 units against the total issue size of 7,12,56,400 units, as per data available with NSE.

The offer is expected to raise up to Rs 4,750 crore. The category reserved for institutional investors was subscribed 30 percent and other investors 7 percent according to the exchange data.

As per a regulatory filing on Friday, Embassy Office Parks has finalized allocation of 5,81,05,600 units to anchor investors at Rs 300 per unit, totaling Rs 1,743.16 crore.

The issue is in a price band of Rs 299-300 per unit and will close on March 20.

REIT is an investment tool that owns and operates rent-yielding real estate assets. It allows individual investors to make an investment in this platform and earn income.

Embassy Office Parks is a joint venture of Blackstone and Embassy.

Embassy Office Parks had in September last year filed the draft red herring prospectus (DRHP) with market regulator Sebi to launch REIT, touted as Asia's largest in terms of portfolio size of 33 million sq ft.

Axis Capital, Credit Suisse Securities (India), Deutsche Equities India, Goldman Sachs (India) Securities, HSBC Securities and Capital Markets (India), IIFL Holdings, JM Financial, and Nomura Financial Advisory and Securities (India) are managing the public offer.

Besides, Morgan Stanley India Company, Kotak Mahindra Capital Company, JPMorgan India and DSP Merrill Lynch are the global co-ordinators and book running lead managers.

Embassy Office Parks, a leading player in commercial real estate, has put 33 million sq ft of office and hospitality assets under its proposed REIT comprising seven business parks and four city-centric buildings spread across Mumbai, Bengaluru, Pune and Noida.

First Published:Mar 19, 2019 6:59 AM IST