Blackstone-linked entities have launched an offer for sale of units in Knowledge Realty Trust, India's largest real estate investment trust [1, 2, 3].
The move allows Blackstone to reduce its stake in the trust while ensuring the entity meets regulatory requirements for public unitholding [2].
The offer for sale includes up to 11.1 million units [7]. The total value of the stake being sold is estimated at ₹11,988 crore [2], with other reports placing the figure at nearly ₹12,000 crore [1].
According to the offer details, the floor price per unit is set at ₹108 [3]. The base issue size represents 16.69% of the unit capital [3]. This base portion of the sale has a maximum monetary value of ₹7,992 crore [3].
Blackstone entities may sell up to 25.03% of the trust's units [2]. This divestment process is designed to transition a larger portion of the trust's ownership to the public market.
Knowledge Realty Trust operates as a significant vehicle for commercial real estate in India. The current sale represents one of the largest liquidity events for a REIT in the region [1, 2].
“Blackstone-linked entities have launched an offer for sale of units in Knowledge Realty Trust”
This divestment signals a strategic shift for Blackstone to lock in gains from its Indian commercial real estate portfolio. By increasing the public float of Knowledge Realty Trust, Blackstone satisfies local regulatory mandates while testing the market's appetite for large-scale REIT units in India.
