CAM Advises on INR 1400 Crore Pre-IPO Funding for Knowledge Realty REIT
Cyril Amarchand Mangaldas (CAM) played a crucial role in advising Blackstone Advisors India Private Limited and Cessna Garden Developers Private Limited (the Company) on a substantial pre-IPO funding round. The transaction involved the issuance of share warrants to multiple subscribers (Subscribers) through two share warrant subscription agreements. The aggregate consideration for this private placement was approximately INR 1400 crore. These warrants were designed to convert into equity shares upon the occurrence of specific events, known as Warrant Shares.
The Company, which owns certain real estate assets, was fully acquired by Knowledge Realty Trust (REIT) as a special purpose vehicle. In this acquisition, existing shareholders, including the Subscribers, received REIT units in exchange for their shareholding in the Company. To facilitate this complex transaction, CAM provided comprehensive legal advice, including the negotiation and execution of two share purchase agreements between Axis Trustee Services Limited and Knowledge Realty Office Management Services Private Limited, acting on behalf of the REIT, and the Subscribers.
Additionally, escrow agreements were executed to ensure the smooth transfer of equity shares issued upon the conversion of the Warrant Shares to the REIT. KFin Technologies Limited acted as the escrow agent, adding a layer of security and transparency to the process.
The investment was a pivotal element in the REIT’s pre-IPO capital raise. It aimed to consolidate real estate assets, specifically commercial office spaces, across India and to bolster the REIT's financial position. The REIT was successfully listed on the BSE and the NSE on August 18, 2025, marking a significant milestone in its growth and development.
The transaction was led by Reeba Chacko, Senior Partner, and Mohit Gogia, Partner, with support from a team of experienced associates, including Varsha Nair, Anisha Dash, Aashna Gupta, Muskaan Garg, and Swathi Kathi. Pranav Sharma and Okram Singha, both Partners, along with Anmol Bhargava and Jay Shah, advised on the banking aspects of the transaction. Emil Joseph, Partner, with Amrita Dubey, Senior Associate, provided guidance on the general corporate aspects. Yash Ashar, Senior Partner, and Janhavi Manohar, Partner, supported by Subham Jain and Adwait Deshmukh, handled the capital markets part of the transaction.
This strategic funding round not only enhanced the REIT's portfolio of commercial properties but also positioned it strongly for future growth and expansion. The successful listing on the BSE and NSE is a testament to the meticulous planning and execution of the transaction, underpinned by the expert legal advice provided by CAM.
