Embassy REIT secures Rs. 675 Crore Debt Fund to Repay Existing Realty Loans

By selling commercial papers, Embassy Office Parks REIT has raised Rs. 675 crore in short-term debt to cover its working capital needs and pay back its current borrowing.

For working capital, Embassy REIT raises Rs. 675 cr in short-term debt to pay back current loans.

The company announced the issue of listed, rated, redeemable, rupee-denominated commercial papers for a total of Rs. 675 crore on a private placement basis in April of this year.

In a regulatory filing on Monday, Embassy Office Parks REIT stated that the allocation of commercial papers valued at Rs. 675 crore on a private placement basis has been approved by the Board of Directors' debenture committee.

It is suggested that these commercial papers be listed on the BSE Ltd. Wholesale Debt Market Segment, with a yield of 7.075 percent.

The issue's proceeds will be utilized for working capital and the repayment of outstanding debt.

The first real estate investment trust in India to go public is Embassy Office Parks REIT.

Recently, The Knowledge Realty Trust's sponsors, Blackstone and Sattva Developers, have submitted the draft documents to the Securities and Exchange Board of India (Sebi). In its draft red herring prospectus (DRHP), the Trust—a joint venture between the Sattva Group and Blackstone—stated that it hopes to generate up to Rs. 6,200 crore through the initial public offering (IPO).