Blackstone-backed Knowledge Realty Trust Files for India's Largest REIT IPO

India's real estate investment trust (REIT) market is witnessing significant growth, with Knowledge Realty Trust filing for the largest REIT IPO in the country. The Blackstone-backed REIT, in partnership with Sattva Developers Pvt., aims to raise ₹62 billion ($711 million) through the public offering.

Knowledge Realty Trust: Key Details

The Knowledge Realty Trust has a diverse portfolio of office spaces located in Bengaluru, Mumbai, Hyderabad, and Chennai. According to the draft red herring prospectus (DRHP) filed with SEBI, the REIT reported a net operating income of ₹29 billion in the last financial year.

IPO Proceeds and Utilization

The primary objective of the IPO is to repay outstanding debt, which will help strengthen the financial position of the REIT. A significant portion of the proceeds will be allocated to reducing leverage and optimizing operational efficiency.

Growth of India's REIT Market

India's real estate investment trust sector has been growing rapidly, with four REITs currently listed, including Brookfield India and Embassy Office Parks. The Knowledge Realty Trust IPO marks another milestone in India's REIT market, reinforcing its appeal to institutional and retail investors.

Largest REIT by Gross Asset Value

As per the DRHP, Knowledge Realty Trust is the largest REIT in India by gross asset value. The REIT boasts a committed occupancy of 89.9% as of December, making it a strong contender in the commercial real estate market.

The ₹62 billion REIT IPO by Knowledge Realty Trust is set to be the biggest REIT listing in India, attracting attention from investors looking for stable income through commercial real estate assets. With strong backing from Blackstone and Sattva Developers, this REIT aims to capitalize on India's growing demand for commercial spaces while improving its financial stability.

The Upcoming IPOs in this week and coming weeks are Super Iron Foundry, PDP Shipping & Projects.

The Closed IPOs are NAPS Global.

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