August 2, 2023: Brookfield India Real Estate Trust, India’s first 100% institutionally managed Reit, today announced that it has successfully completed a capital raise of Rs. 2,305 crore through a qualified institutional placement (QIP).
The qualified institutional placement saw strong demand from existing as well as new Indian and global investors. Proceeds from the placement will be directed toward financing the announced acquisition of two large commercial assets from Brookfield Asset Management’s private real estate funds.
Ankur Gupta, managing partner, head of real estate for the APAC region at Brookfield, said, “We thank the institutions that have shown their support for the fund raise which expands and diversifies our investor base and stands as a testament to the quality of office portfolio we have built in the country.”
“We are grateful to our unitholders for the support and vote of confidence in the growth strategy for the REIT, which will further strengthen BIRET’s presence across India,” said Alok Aggarwal, CEO, Brookprop Management Services (manager of Brookfield India Real Estate Trust).
The issue committee of the board of directors of Brookprop Management Services, the manager of Brookfield India Real Estate Trust, approved the issuance and allotment of 9.13 crore new units through this QIP to 64 eligible investors on August 2, 2023.
On May 18, 2023, BIRET and GIC announced they would acquire two large commercial assets (totaling 6.5 million square foot) from Brookfield Asset Management’s private real estate funds in an equal partnership with GIC for a combined enterprise value of Rs 11,225 crore. The acquisition comprises commercial properties in Brookfield’s Downtown Powai, Mumbai, and Candor TechSpace (G1) Gurgaon. To fund the acquisitions, BIRET launched a QIP on July 27, 2023.
BofA Securities India, Morgan Stanley India Company, Kotak Mahindra Capital Company, Citigroup Global Markets India, Axis Capital, Jefferies India, JM Financial, SBI Capital Markets, IIFL Securities, BOB Capital Markets and ICICI Securities served as book running lead managers for this placement.
Brookfield India Real Estate Trust comprising five large campus format office parks located in key gateway markets of India, including Mumbai, Gurgaon, Noida and Kolkata. The BIRET portfolio consists of 18.7 million square foot (msf) comprising 14.3 msf of completed area, 0.6 msg under-construction and 3.9 msf of future development potential. BIRET has a right of first offer on an additional 4.1 msf, currently owned by members of the Brookfield Group.
BIRET is sponsored by an affiliate of Brookfield Corporation (formerly known as Brookfield Asset Management), whose asset management business is one of the world’s leading alternative asset managers, with over $825 billion of assets under management, across real estate, infrastructure, renewable power, private equity and credit strategies and has a global presence across more than 30 countries.
