Embassy Office Parks REIT raises ₹1,050 crore through NCD issue

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Embassy Office of Parks Retreat raised Rs 1,050 crore through NCD issue. Embassy REIT will use the proceeds from the debt increase to refinance the bank loans, which are due to reset interest in the coming months. Embassy REIT said in a statement that it will be able to deliver approximately 138 basis points in interest savings, compared to the expected interest rate upon repricing.

NCDs will be listed on the wholesale debt market of BSE Ltd.

Ritwik Bhattacharjee, Chief Investment Officer, Embassy REIT, said the NCD issue saw strong participation from institutional investors. “Our AAA-rated balance sheet, proactive debt management, and industry-leading creditworthiness continue to attract capital from mutual funds, insurers, and corporations. This NCD issuance, at 7.77 percent, allows us to partially refinance floating rate loans prudently, and we will continue to monitor the debt book.” We have variable rates to minimize the impact of potential interest rate increases on unitholders,” he added.

Embassy REIT owns and operates a 45 million square foot portfolio of nine office parks and four city center office buildings in Bengaluru, Mumbai, Pune and the NCR.