Bengaluru: Embassy Office Parks – Embassy REIT (NSE: EMBASSY, BSE: 542602), India’s first publicly listed Real Estate Investment Trust and the largest office REIT in Asia by area, has successfully raised ₹1,550 crores through a strategic combination of Non-Convertible Debentures (NCDs) and term loan facilities.
The capital will be used to refinance existing debt, delivering anticipated annual interest savings of approximately 113 basis points.
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This capital raise includes ₹750 crores through Embassy REIT Series XIV NCDs priced at a coupon of 6.97% – the lowest rate achieved by the REIT in the last four years. The issuance received overwhelming demand, especially from mutual funds, resulting in a 6 basis point reduction from the offered rate.
In addition, ₹800 crores were secured as term loans from a leading Indian bank, carrying a 7.40% floating interest rate over a 15-year tenor.
Ritwik Bhattacharjee, CEO of Embassy REIT, said, “This ₹1,550 crore fundraise demonstrates strong institutional confidence in our credit quality and long-term growth strategy. The refinancing aligns with our commitment to balance sheet optimization and positions us well for future expansion.”
Embassy REIT Debt Round: Key Highlights
- Raised ₹750 crores via Series XIV NCDs at a 6.97% coupon rate
- ₹800 crores secured through 15-year term loans at a 7.40% floating rate
- Strong institutional demand led to a 6 bps improvement in NCD pricing
- NCDs rated “AAA/Stable” by CRISIL
- Expected interest cost savings of ~113 basis points annually
With a 51.1 million square feet portfolio spanning Bengaluru, Mumbai, Pune, NCR, and Chennai, Embassy REIT continues to lead the sector in innovation and sustainability.
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The portfolio includes 14 office parks, 40.3 million sq. ft. of completed operational area, and is home to 272 global occupiers. Strategic amenities such as four business hotels, two under-construction hotels, and a 100 MW solar park reinforce its commitment to ESG leadership.
This refinancing further strengthens Embassy REIT’s capital structure and enhances its ability to fund long-term growth initiatives while driving consistent value for unitholders.
