Mindspace Business Parks REIT has informed the Exchange regarding Disclosure of material issue
Awaiting price reaction for this filing.
Mindspace Business Parks REIT has announced the acquisition of three prime CBD office assets from its sponsor K Raheja Corp for approximately INR 29.2 billion, representing a 6.1% discount to the average of two independent valuations. The assets include Ascent-Worli (~0.45 msf), The Square Avenue 98 BKC Annex (~0.22 msf), both in Mumbai, and an office building in Kalyani Nagar, Pune (~0.11 msf), collectively adding ~0.8 msf of premium leasable area. Funding will be largely through a preferential issue of units aggregating up to ~INR 18.2 billion, subject to unitholder and regulatory approvals. Marquee tenants include Goldman Sachs and JP Morgan. On a proforma basis, the deal is expected to deliver ~9% NOI growth and ~1.7% DPU accretion, raising total portfolio size from 38.2 msf to 39 msf and GAV from ~INR 410.2 Bn to ~INR 441.3 Bn. This marks the REIT's second sponsor-led acquisition, reinforcing its disciplined growth strategy.
Positive for unitholders — the deal is value-accretive with ~1.7% DPU uplift and adds high-quality, fully or near-fully leased assets with marquee global tenants. However, the preferential issue of new units worth up to INR 18.2 Bn may lead to some dilution, and the deal remains subject to unitholder and regulatory approvals.