Embassy Office Parks REIT Approves ₹1,400 Crore Series XVI NCD Issue For Debt Repayment and Capex

Embassy Office Parks REIT on February 20, 2026 approved the issuance of listed, rated, secured, redeemable non-convertible debentures aggregating up to ₹1,400 crore, aimed at refinancing existing debt and funding capital expenditure at its SPVs, according to a regulatory filing.

Debenture Committee Clears Series XVI NCDs on Private Placement Basis

The Debenture Committee of the Board of Directors of Embassy Office Parks Management Services Private Limited, acting as manager to Embassy REIT, granted approval at its meeting held on Friday, February 20, 2026.

As per the disclosure addressed to the exchanges, the committee cleared the issuance of up to 1,40,000 listed, rated, secured, redeemable, transferable, rupee-denominated non-convertible debentures with a face value of ₹1,00,000 each. The proposed issue size aggregates to a principal amount of up to ₹1,400 crore.

The instruments, designated as “Series XVI Debentures”, will be issued on a private placement basis for a tenure of up to 10 years from the deemed date of allotment.

The filing referenced earlier board approvals dated April 23, 2025 and July 31, 2025, under which the Board had authorised debt fundraising up to an aggregate limit of ₹10,500 crore, subject to applicable law and permitted modes of borrowing.

Proceeds from the Series XVI issue are intended to be utilised for repayment of existing debt and/or capital expenditure requirements of special purpose vehicles within the REIT structure.

The meeting commenced at 14:10 IST and concluded at 14:24 IST, the disclosure noted.

Stock Market Snapshot

Shares of Embassy Office Parks REIT were trading lower on February 20, 2026. As of 3:29 pm IST, the units were quoted at ₹433.49, down ₹2.19 or 0.50% from the previous close of ₹435.68, according to exchange data.

The high stood at ₹435.99, while the low was ₹431.33. The opening price was ₹435.99.

The REIT’s market capitalisation was approximately ₹41,110 crore. The counter has a reported price-to-earnings ratio of 78.16. Over the past 52 weeks, the units have traded between ₹349.01 and ₹461.99.

Company Background

Embassy Office Parks REIT is India’s first listed real estate investment trust, sponsored by the Embassy Group and Blackstone. The REIT owns and operates a portfolio of income-generating office assets across key Indian office markets through a holding structure comprising multiple special purpose vehicles.

The manager of the REIT, Embassy Office Parks Management Services Private Limited, oversees asset management, leasing, capital allocation and compliance functions in accordance with SEBI (Real Estate Investment Trusts) Regulations, 2014, as amended.

Listed non-convertible debentures such as the Series XVI issuance are typically secured instruments that rank ahead of equity holders in repayment hierarchy and are often used by REITs to optimise capital structure and manage borrowing costs.

Conclusion

The approval of the ₹1,400 crore Series XVI NCD issue forms part of the REIT’s broader ₹10,500 crore debt fundraising mandate cleared in 2025. The proceeds are earmarked primarily for refinancing and capital expenditure at the SPV level, reflecting ongoing capital management within the trust’s portfolio structure.

Source: https://www.bseindia.com/xml-data/corpfiling/AttachLive/28159274-cf98-47de-8e0f-8fbc07da808c.pdf