Embassy Office Parks REIT (NSE: EMBASSY / BSE: 542602) (‘Embassy REIT’), India’s first listed REIT and the largest in Asia by area, announced today that it has successfully priced and allotted by way of a private placement, ₹7.5 Billion (Indian Rupees Seven and Half Billion only) or ₹750 crores of rupeedenominated, listed, rated, secured, redeemable, transferable non-convertible debentures (“NCDs”) at 6.70% quarterly coupon. The NCDs will be listed on the Wholesale Debt Market of BSE Limited (“BSE”).

Michael Holland, CEO of Embassy REIT, said “Following our successful ₹7.5 Billion fundraise in September 2020, we are pleased to announce another competitively priced debt raise by Embassy REIT. This successful placement once again demonstrates the strength of our balance sheet and the underlying appeal of our business supported by the strong covenants of a largely multinational occupier base. Funds raised will be used to drive growth through our on-campus development projects and our recently announced accretive acquisition of Embassy Manyata and Embassy TechZone property maintenance. We continue to maintain low leverage and remain very well placed to pursue further accretive growth opportunities to the benefit of our unitholders.”

On August 14, 2020, the Board of Embassy Office Parks Management Services Private Limited (‘EOPMSPL’, Manager to the Embassy REIT) approved the issue of NCDs in one or more tranches of which allotment of the first tranche, i.e., Series II Tranche A NCDs 2020 aggregating ₹7.5 Billion (Indian Rupees Seven and Half Billion only) was completed on September 9, 2020. Earlier today, the Debenture Committee approved the allotment of the second tranche, i.e., Series II Tranche B NCDs aggregating ₹7.5 Billion (Indian Rupees Seven and Half Billion only) carrying a face value of ₹1,000,000 (Indian Rupees One Million only) with a coupon of 6.70% payable on a quarterly basis.

Transaction Highlights

– Issuance of ₹7.5 Billion of Embassy REIT Series II Tranche B NCDs 2020 at 6.70% quarterly coupon and maturing in October 2023

– Transaction witnessed healthy demand and was well received by investors, with prominent domestic financial institutions anchoring the issuance

– “CRISIL AAA/Stable” rating assigned by rating agency CRISIL to the NCDs issued

– Proceeds to be used to finance recently announced acquisition of Embassy Manyata and Embassy TechZone property maintenance, construction development and for general corporate purposes Morgan Stanley served as sole arranger on the private placement and Cyril Amarchand Mangaldas served as the legal counsel on the transaction.

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