Vanguard Group Invests ₹158 Crore in Nexus Select Trust, India's First Retail REIT
Nexus Select Trust, India's first retail real estate investment trust (REIT), has caught the attention of global investors, with Vanguard Group purchasing over 1.14 crore units for ₹158 crore.
Vanguard GroupNexus Select TrustReitReal Estate Investment TrustRetail PropertiesReal EstateAug 14, 2024
According to the bulk deal data available on the National Stock Exchange (NSE), the US-based Vanguard Group purchased 1,14,50,476 units, amounting to a 0.75% stake in Nexus Select Trust. The units were picked up at an average price of ₹138.42 apiece, taking the transaction value to ₹158.49 crore.
On the other hand, Morgan Stanley Asia Singapore disposed of 78.41 lakh units of REIT firm at an average price of ₹138.33 per piece, taking the deal value to ₹108.47 crore. However, the details of other sellers of the REIT firm's units could not be ascertained.
Interestingly, Morgan Stanley Asia Singapore also purchased 3,003 units of Nexus Select Trust. Nexus Select Trust units rose 1.16% to close at ₹138.01 a unit on the NSE.
Last week, global investment firm Blackstone sold 31.55 crore units in its REIT firm Nexus Select Trust' for around ₹4,354.90 crore as part of a strategy to monetise its real estate portfolio.
Domestic mutual funds, including ICICI Prudential Mutual Fund (MF), and HDFC MF picked up units of Nexus Select Trust. Among foreign companies, US-based financial services company Wells Fargo and Morgan Stanley acquired stakes in the company, while French asset management firm Carmignac also bought units of the REIT firm.
Nexus Select Trust's portfolio comprises 17 shopping malls with a gross leasable area of 9.9 million square feet spread across 14 cities, two complementary hotel assets (354 keys) and three office assets with a gross leasable area of 1.3 million square feet.
Vanguard Group's investment in Nexus Select Trust is a significant development in the Indian real estate sector, which has been witnessing a surge in investments from global players.
About Vanguard Group
Vanguard Group is a US-based investment management company that offers a range of financial products and services to individual and institutional investors. Founded in 1975, the company is headquartered in Malvern, Pennsylvania, and has over $7 trillion in assets under management.
About Nexus Select Trust
Nexus Select Trust is India's first retail real estate investment trust (REIT) backed by retail properties. The REIT firm's portfolio comprises 17 shopping malls, two complementary hotel assets, and three office assets spread across 14 cities in India.
Frequently Asked Questions
What is Nexus Select Trust?
Nexus Select Trust is India's first retail real estate investment trust (REIT) backed by retail properties.
How many units of Nexus Select Trust did Vanguard Group purchase?
Vanguard Group purchased 1,14,50,476 units of Nexus Select Trust.
What is the transaction value of Vanguard Group's investment in Nexus Select Trust?
The transaction value of Vanguard Group's investment in Nexus Select Trust is ₹158.49 crore.
What is the portfolio of Nexus Select Trust?
Nexus Select Trust's portfolio comprises 17 shopping malls, two complementary hotel assets, and three office assets spread across 14 cities in India.
Who are the other investors in Nexus Select Trust?
Other investors in Nexus Select Trust include domestic mutual funds such as ICICI Prudential Mutual Fund and HDFC MF, as well as foreign companies such as Wells Fargo, Morgan Stanley, and Carmignac.
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