Bain Capital's APAC Company XXIII Limited has successfully completed a significant block deal to sell units of Embassy Office Parks REIT through the screen-based trading platform of Indian stock exchanges. As reported by CNBC TV18, 5.3 crore units or 5.66% equity changed hands on Monday, August 17, though the exact transaction value and buyer details are not yet disclosed. However, assuming the deal took place at the pre-determined floor price of ₹430 per unit, the total transaction value would amount to ₹2,279 crore. The transaction is a vendor sale, meaning the units are being sold by the existing investor, with proceeds going to the seller. Morgan Stanley India Company Pvt Ltd and Kotak Securities Ltd served as the placement agents for the transaction.
According to reports from The Economic Times, Business Standard, and CNBC TV18, Embassy Office Parks REIT will be included in the Nifty 500 and Nifty Midcap 150 from September 30, 2026, as part of NSE Indices' latest periodic review. The REIT will be the only REIT included in the Nifty Midcap 150 under the new composition, marking a significant milestone for India's listed REIT market. The revised index composition was announced on August 12, 2026 via intimation to the National Stock Exchange of India Limited and BSE Limited. The inclusion across these indices broadens the asset class's visibility across the investment universe and creates potential for greater participation from institutional and passive investors.
As reported by The Economic Times, Business Standard, and CNBC TV18, Embassy REIT will be included in multiple indices including the Nifty Next 100, Nifty LargeMidcap 250, Nifty MidSmallcap 400 and Nifty Total Market indices. Its inclusion in the Nifty 500 will also extend to the Nifty500 Equal Weight, Nifty500 Multicap 50:25:25 and Nifty500 LargeMidSmall Equal-Cap Weighted indices. The company noted that the inclusion across these indices broadens its visibility across the investment universe and creates the potential for greater participation from institutional and passive investors. According to CNBC TV18, index inclusion can increase a security's visibility and potentially generate demand from passive funds such as exchange-traded funds and index funds that track the relevant benchmarks.
According to The Economic Times, Business Standard, and CNBC TV18, Embassy REIT expects its inclusion to strengthen its presence across key market benchmarks, enhance the visibility of investment opportunities and garner increased participation from institutional and retail investors. As reported by CNBC TV18, Embassy REIT Chief Executive Officer Amit Shetty emphasized that the inclusion in the Nifty 500 and notably, as the only REIT in the Nifty Midcap 150, marks a significant moment for the company and the continued evolution of India's listed REIT market. Shetty noted that the inclusion would bring REITs further into the mainstream of India's capital markets and provide access to a broader pool of investors. The company highlighted that the Nifty Midcap 150 is already tracked by multiple ETFs and index funds in India, making its inclusion in the index particularly relevant from an investor access perspective.
According to CNBC TV18, units of Embassy Office Parks REIT are trading 2.8% lower on Monday following the block deal, currently trading at ₹439. The stock is little changed on a year-to-date basis, but has gained 14% in the last 12 months. At the end of the June quarter, sponsor and sponsor group holding in Embassy Office Parks REIT was at 7.69% while public unit holding was at 93.31%. Of this, APAC Company XXIII Ltd held 0.06% stake in it. The base offer comprised up to 41.9 million units, representing around 4.42% of the existing total listed units, valued at up to ₹1,801.7 crore ($189 million). The transaction could include an upsize option of up to 11.55 million units, representing around 1.22% of the existing total listed units, valued at up to ₹496.7 crore.
In the June quarter, Embassy REIT recorded strong financial performance with revenue increasing 17% year-on-year and net operating income also rising 17% Y-o-Y. The company's Earnings before interest, taxes, depreciation and amortisation (Ebitda) grew to ₹978 crore, up 16% Y-o-Y. These robust financial results demonstrate the REIT's continued growth trajectory and operational efficiency in India's commercial real estate sector.
As reported by The Economic Times, Business Standard, and CNBC TV18, Embassy REIT is India's first listed REIT and the largest office REIT in Asia by area. The Bengaluru-based REIT owns and operates a portfolio of more than 52 million square feet of office space across India in cities including Bengaluru, Mumbai, Pune, the National Capital Region (NCR) and Chennai. The portfolio comprises 14 premium office ecosystems, housing 285 leading global and domestic corporations, along with five operational business hotels, two hotels under development, and a 100 MW solar park supplying renewable energy to tenants. According to CNBC TV18, Shetty noted that Embassy REIT is India's first listed REIT and has played a pioneering role in the growth of the asset class, with the company remaining focused on delivering sustained performance and long-term value for its unitholders.
