Overall the issue was oversubscribed by more than Rs65 crores
FinTech BizNews Service
Mumbai, 4 December, 2024: The Initial Public Offering of PropShare Platina, India’s 1st SM REIT scheme was oversubscribed 1.2x at close on the final day of bidding. The issue received bids of 4,002 units against the offered 3,353 units, at a price band of ₹ 10,00,000- 10,50,000, according to the data available on the stock exchange. Overall the issue was oversubscribed by more than Rs. 65 crores or 1.19X. Institutional Investors Portion and Non-Institutional Investors Portion were subscribed 0.13 times and 4.37 times respectively.
PropShare Investment Manager Private Limited is the Investment Manager for the offer. ICICI Securities Limited is the sole lead manager and KFin Technologies Ltd is the registrar to the offer. Company Information PropShare Platina is the first scheme to come out with an initial public offering under the new SM REIT regulations notified by SEBI in March 2024. It comprises 246,935 sf of office space in Prestige Tech Platina, a LEED Gold office building located on Outer Ring Road (ORR), Bangalore, developed by the Prestige group and proposed to be fully leased to a US-based tech company through a fresh 9- year lease with a 4.6 year weighted average lock-in and escalation in rents every 3 years.
The scheme offers investors a projected distribution yield of 9.0% for the financial year 2026, 8.7% for the financial year 2027 and 8.6% for the financial year 2028. For this scheme, the Investment Manager, PropShare Investment Manager Private Limited ("Property Share” or “IM”) has decided to waive off all annual management expenses (including investment management fee and property management fee) for FY 25 and FY26 and will charge a nominal fee of 0.25% in FY27 and 0.30% from FY28 onwards. Property Share will also invest a minimum 5% of the units of the scheme.
