Brookfield India REIT is planning to improve an additional up to Rs 1,150 crore through a combination of preferential issue of units to its sponsor group and commercial paper following its authorized institutional placement (QIP) worth Rs 2,305 crore earlier this week. The REIT will be increasing by nearly Rs 400 crore through the issuance of up to 1.27 crore units to a sponsor group entity Project Diamond Holdings. The issue will be priced at Rs 315.04 per unit, nearly a 25% premium to the issue price of its recently concluded QIP.

The issue of commercial paper with a maturity period of up to 1 year will aggregate up to Rs 750 crore. The REIT announced closing its QIP with the institutional placement of its units to 64 domestic and global funds and entities of Goldman Sachs, CDPQ, Morgan Stanley Asia (Singapore), Citigroup Global Markets, BoFA Securities, and Canada Life Global. Proceeds from the institutional placement, preferential issue, and commercial paper totaling up to Rs 3,455 crore will be utilized to support the financing of the announced acquisition of two large commercial assets spread over 6.5 million sq ft from Brookfield Asset Management’s private real estate funds.

Brookfield REIT and GIC announced they will acquire these two large commercial assets 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