Nexus Select Trust REIT stock climbs over 4 pc in debut trade

Shares of Nexus Select Trust, the first REIT backed by rent-yielding retail real estate assets, ended with a gain of over 4 per cent against the issue price of Rs 100 per unit on Friday.The stock made its debut at Rs 102.27, up 2.27 per cent on the BSE.

Shares of Nexus Select Trust, the first REIT backed by rent-yielding retail real estate assets, ended with a gain of over 4 percent against the issue price of Rs 100 per unit on Friday.

The stock made its debut at Rs 102.27, up 2.27 percent on the BSE. During the day, it climbed 4.9 percent to Rs 104.90. Shares of the company ended at Rs 104.26 apiece, up 4.26 percent.

At the NSE, it started the trade at Rs 103, up 3 percent. It ended at Rs 104.30, climbing 4.3 percent.

The company commanded a market valuation of Rs 15,795.39 crore.

The Real Estate Investment Trust is sponsored by Blackstone.

''We are pleased to celebrate the successful launch of Nexus Select Trust, India’s first retail-focused REIT, and bring an unprecedented opportunity to investors. This reinforces our long-standing commitment to India, where we have been significant investors over the last 15 years,'' Chris Heady, Chairman of Asia Pacific & Head of Real Estate Asia, Blackstone, said.

The initial public offering (IPO) of Nexus Select Trust was subscribed 5.45 times on the last day of subscription on Thursday last week.

The Rs 3,200-crore share sale had a price band of Rs 95-100 per unit.

''This is the third REIT we have helped bring to India with the support of the government and its ongoing efforts to make India an attractive investment destination for global investors. India is a fast-growing economy with unique consumption tailwinds, and we believe Nexus Select Trust is uniquely positioned to benefit from these trends,'' Tuhin Parikh, Head of Real Estate India, Blackstone, said.

Nexus Select Trust has a portfolio of 17 operational shopping malls, including Delhi's premium Select City Walk, across 14 major cities covering a 9.8 million square feet area. It operates two hotels with 354 keys and also office spaces as part of mixed-use development.

There are three listed REITs -- Embassy Office Parks REIT, Mindspace Business Parks REIT, and Brookfield India Real Estate Trust -- on the Indian stock exchanges but all of them are backed by leased office assets.

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