The capital was raised in two tranches—Rs 600 crore and Rs 400 crore— with bullet repayment on maturity.
New Delhi:Â Nexus Select Trust, India’s first retail real estate investment trust (REIT), announced the raising of Rs. 1000 crore through non-convertible debentures (NCDs) at a coupon rate of ~7.70%, a release said on Thursday.
The capital was raised in two tranches—Rs 600 crore and Rs 400 crore— with bullet repayment on maturity.
The Blackstone-backed REIT aims to utilize the funds for acquiring new retail malls and general corporate purposes. With a low loan-to-value (LTV) ratio of around 14%, Nexus Select Trust has significant headroom for growth through debt capital. The NCDs are now listed on the BSE’s wholesale debt market.
IndiaRetailing had earlier reported that the company is set to acquire Vega City Mall in Bengaluru.
The Blackstone-baked company is also in talks to acquire two more assets including South City Mall in Kolkata and L&T Metro Malls, in Hyderabad, from developers like the Kolkata-based South City Projects and multinational conglomerate L&T India respectively, according to two sources familiar with development. If the talks fructify to acquire those two additional malls, Nexus will take the total number of shopping centres under its portfolio to 20.
Comprising 17 Grade A urban consumption centres or malls. Nexus’s portfolio boasts a gross leasable area of about 10 million sq. ft., spread across 14 cities. Complementing these retail spaces are two hotel assets with 354 keys and three office assets with a gross leasable area of 1.3 million square feet. Collectively, Nexus Select Trust centres are home to over 1,000 domestic and international brands, offering customers a curated experience through 3,000 stores.
Nexus Select Trust also works towards sustainability with over 43 MW of solar and hybrid power plant capacity and has reduced its carbon dioxide emissions by over 12,500 tons per year. Additionally, 26% of Nexus Select’s workforce comprises women, reflecting its commitment to diversity and inclusion. The company’s tenant sales in financial year (FY) 24 was Rs 120 billion.
