Knowledge Realty Trust REIT made a strong debut on the Indian stock exchanges, with its shares listing at a premium over the issue price. The Real Estate Investment Trust (REIT) saw its units open at Rs 103.00 on the National Stock Exchange (NSE) and Rs 104.00 on the Bombay Stock Exchange (BSE), representing a 3-4% increase from the issue price of Rs 100.00 per unit.

IPO Details and Investor Response

The initial public offering (IPO) of Knowledge Realty Trust REIT, which raised Rs 4,800.00 crore, garnered significant interest from investors. The issue was oversubscribed 12.48 times, indicating strong demand across investor categories:

• Qualified Institutional Buyers (QIB) portion: 9.07 times oversubscribed
• Non-institutional investors: 16.57 times oversubscribed

Additionally, the REIT successfully raised Rs 1,620.00 crore from anchor investors prior to the public issue.

Use of Proceeds

The primary objective of the IPO proceeds is to reduce the REIT's debt burden. Knowledge Realty Trust plans to utilize the funds to repay borrowings of Rs 4,640.00 crore from asset Special Purpose Vehicles (SPVs) and investment entities.

Portfolio and Occupancy

Knowledge Realty Trust REIT boasts a diverse portfolio of commercial real estate assets:

• 30 Grade-A office assets
• Presence in six major cities: Hyderabad, Mumbai, Bengaluru, Chennai, Gurugram, and GIFT City
• High committed occupancy rate of 91.4%

Financial Performance

Knowledge Realty Trust REIT reported the following financial metrics:

Backing and Sponsorship

The REIT is supported by global sponsors Blackstone and Sattva, lending credibility to its operations and potential for growth in the Indian real estate market.

The successful listing of Knowledge Realty Trust REIT reflects the growing investor interest in the Indian commercial real estate sector through the REIT structure. As the market matures, REITs are increasingly being viewed as an attractive investment option, offering both regular income through dividends and potential capital appreciation.

The highly anticipated Knowledge Realty Trust REIT Initial Public Offering (IPO) is set to reach a crucial milestone today as the allotment status is expected to be finalized. This development comes on the heels of an impressive 12.48 times oversubscription for the Rs 4,800-crore public issue, which closed on August 7.

Overwhelming Investor Response

The IPO, touted as the largest REIT offering in India, witnessed substantial interest across investor categories:

• Qualified Institutional Buyers (QIBs): This segment saw a robust 9.07 times subscription, indicating strong institutional backing.
• Non-Institutional Investors: Even more impressive was the response from non-institutional investors, with this portion being oversubscribed by 16.57 times.

About Knowledge Realty Trust REIT

Knowledge Realty Trust has established itself as a significant player in the real estate investment trust sector:

• Largest office REIT in India by Gross Asset Value
• Second-largest globally by leasable area
• Portfolio spanning 46.3 million sq. ft.
• High committed occupancy rate of 91.4%
• Presence in key cities: Bengaluru, Hyderabad, Mumbai, Gurugram, Chennai, and GIFT City

Key Dates and Information

How to Check Allotment Status

Investors eagerly awaiting the results can check their allotment status through two primary channels:

1. Registrar Website: KFin Technologies
2. Stock Exchange: BSE website

Post-Allotment Process

For those not allotted shares:

• Refund initiation: Expected by August 13

For successful applicants:

• Share credit to demat accounts: Also expected by August 13

This landmark IPO marks a significant moment for India's REIT market, showcasing the growing investor appetite for real estate investment opportunities in the country's burgeoning commercial property sector. The strong oversubscription across investor categories underscores the confidence in Knowledge Realty Trust's portfolio and the potential of the Indian office real estate market.

As the allotment process concludes and the listing date approaches, all eyes will be on how this REIT performs in the secondary market, potentially setting the tone for future REIT offerings in India.