Brookfield India Real Estate Trust launching IPO on February 3: Price band at Rs 274-275

Brookfield India Real Estate Trust (REIT), backed by Canadian alternate asset manager Brookfield Asset Management, plans to open its initial public offering (IPO) for subscription on 3rd February 2021.

The company with advice from merchant bankers has fixed the price band at Rs 274-275 per unit. Apart from the anchor investor, investors are allowed to bid for a minimum of 200 units and in multiples of 200 units thereafter. This converts 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’s goal is to raise Rs 3,800 crore through the issue that will close on 5th February 2021. The company will use the funds raised to repay debts.

Brookfield REIT is India’s only institutionally managed public commercial real estate organization. Its initial portfolio includes 14.0 million square feet (MSF), with rights to acquire a further 8.3 MSF and rights of the first offer on an additional 6.7 MSF, both presently in hands of members of the Brookfield Group.

The company handles an initial portfolio of four large campuses-format office parks located in some of India’s prime gateway markets such as 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 coordinators and book running lead managers to the issue are Morgan Stanley India Company, Citigroup Global Markets India, BofA Securities India, Capital Markets India and HSBC Securities. Ambit, Axis Capital, IIFL Securities, JM Financial, JP Morgan India, Kotak Mahindra Capital and SBI Capital Markets are the book running key managers to the matter.