Bagmane Prime Office REIT's Rs 3,405 crore IPO opens Tuesday, aiming to list at Rs 100. Despite strong institutional backing, including from the Jhunjhunwala Trust, grey market signals are muted. The Bengaluru-focused REIT boasts premium office assets with high occupancy and marquee tenants like Google and Amazon, projecting attractive yields.

Jhunjhunwala-backed Bagmane REIT IPO opens today. Check GMP, subscription, price band and other details

Synopsis

Bagmane Prime Office REIT's Rs 3,405 crore IPO opens Tuesday, aiming to list at Rs 100. Despite strong institutional backing, including from the Jhunjhunwala Trust, grey market signals are muted. The Bengaluru-focused REIT boasts premium office assets with high occupancy and marquee tenants like Google and Amazon, projecting attractive yields.

The IPO of Bagmane Prime Office REIT, one of the largest primary market offerings of the year, will open for subscription on Tuesday, with the Bengaluru-focused office REIT looking to raise Rs 3,405 crore. While the issue has already drawn strong institutional interest, including backing from the Jhunjhunwala Discretionary Trust, grey market signals remain muted, with the units commanding zero premium ahead of the issue opening.

A zero grey market premium, or GMP, suggests the REIT is currently expected to list close to its upper issue price of Rs 100, indicating limited expectations of immediate listing gains despite strong anchor participation. The REIT has fixed a price band of Rs 95 to Rs 100 per unit, and the issue will remain open for subscription till May 7. Listing on the BSE and NSE is tentatively scheduled for May 15.

Bagmane Prime Office REIT is expected to offer a payout yield of about 6.2% in FY27, projected to rise to 7.5% by FY30, based on the upper price band.

The REIT aims to raise Rs 3,405 crore, comprising a fresh issue of Rs 2,390 crore and an offer for sale of Rs 1,015 crore by existing unitholders.

Ahead of the public issue, the REIT raised Rs 1,150 crore from anchor investors by allotting 11.49 crore units at Rs 100 apiece. The anchor book included some of the biggest domestic institutions, including SBI Life Insurance Company, UTI Mutual Fund, Kotak Mahindra Mutual Fund, WhiteOak Capital Mutual Fund, Quant Mutual Fund and Max Life Insurance Company Ltd..

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Bagmane had also raised Rs 1,360 crore through a pre-IPO placement, entirely via a primary issuance, even before the anchor round, underlining strong institutional appetite.

The REIT is sponsored by Bengaluru-based Bagmane Group and offers investors exposure to premium commercial office assets in one of India’s strongest office leasing markets. Its portfolio comprises six Grade A+ business parks spread across Bengaluru’s key business districts, including the Outer Ring Road and Secondary Business District.

The trust owns a total portfolio of 20.3 million square feet, with a leasable area of 19.6 million square feet.

As of June 2025, the portfolio had a committed occupancy of 97.9%, among the highest in India’s listed office REIT space.

Its tenant roster includes global technology giants such as Google, Amazon, Nvidia and Samsung Electronics, offering investors exposure to long-duration multinational lease income.

Financially, the trust reported total income of Rs 1,960 crore and profit after tax of Rs 829 crore for the nine months ended December 2025. The fresh issue proceeds will primarily be used for asset acquisitions within the Bagmane ecosystem, including the acquisition of Luxor at Bagmane Capital Tech Park, and for expanding the portfolio.

Bagmane Prime Office will become India’s sixth listed REIT, joining names such as Embassy Office Parks REIT, Mindspace Business Parks REIT and Brookfield India Real Estate Trust.

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