Units of Blackstone-sponsored Nexus Select Trust will be listed on the exchanges today. The issue, which was subscribed 5.74 times, came out with a price band of ₹95-100 and the company has fixed the issue price at the upper end.
The REIT raised ₹3,2000 crore. The public issue comprised a fresh issuance of shares aggregating up to ₹1,400 crore and an offer for the sale of shares by the selling shareholders aggregating up to ₹1,800 crore.
While the non-institutional portion was subscribed 6.6 times, the QIB portion received 5.06 times.
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The anchor portion was earlier subscribed to the extent of ₹1,440 crore. The anchor investors included HDFC MF, IIFL AMC ICICI Pru MF, SBI MF, HDFC Life Insurance, SBI Life, and Star Health. Other anchor investors included Prusik, Morgan Stanley, and Tata Investment Corp.
Utility of funds
Net proceeds of the issue will be utilised for partial or full repayment or prepayment and redemption of the certain financial indebtedness of the asset special purpose vehicles and the investment entity; acquisition of stakes and redemption of debt securities in certain asset SPVs; and general purposes.
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About Nexus Select Trust
Nexus Select Trust is the first retail-focused REIT in the country. The portfolio of assets consists of 17 malls spread across 14 cities and 9.2 million sq ft. There are also three offices and two hotels.
As on December 31, 2022, the malls had a committed occupancy of 96.2 per cent and a total market value of ₹21,146.6 crore.
For the nine months to December 31, 2022, Nexus Select Trust reported a net profit of ₹257 crore on revenue of ₹1,463 crore of which mall rentals accounted for the bulk at ₹1,259 crore.
