A significant block deal took place on Tuesday, December 17, as 5.4 crore shares, or 9.2% equity, of Mindspace Business Parks REIT changed hands. The transaction was valued at ₹1,903 crore, with the floor price set at ₹350 per unit, indicating a clean-out trade.
According to reports from CNBC-TV18 on December 16, the block deal was part of a divestment by the Abu Dhabi Investment Authority (ADIA), the world’s second-largest sovereign wealth fund. This marks a notable reduction in ADIA’s stake in the commercial real estate trust.
Mindspace Business Parks REIT, which reported a 5% year-on-year increase in its net operating income (NOI) to ₹503.7 crore for the second quarter of this fiscal year, also announced a distribution of ₹305.4 crore for the July-September period. This growth underscores the company’s strength and the broader momentum in India’s commercial real estate sector, according to Ramesh Nair, CEO of K Raheja Corp Investment Managers Pvt Ltd, the manager of Mindspace REIT.
The REIT, sponsored by the K Raheja Corp group, was listed on the Indian stock exchanges in August 2020. It owns a portfolio of office assets in key markets including Mumbai, Pune, Hyderabad, and Chennai, comprising five integrated business parks and five independent office assets, all featuring superior infrastructure and amenities.
Despite the block deal, shares of Mindspace Business Parks REIT were trading 1.92% lower at ₹356.95 per share as of 9:25 AM on December 16. However, the stock has posted a year-to-date gain of 10.94%.
