Shares of Mindspace Business Parks REIT are trading flat after hitting a day’s high of Rs 426 on 24th July. This comes even as the company announced the acquisition of 100% equity in Mack Soft Tech Pvt Ltd for Rs 511.8 crore. This marks its entry into Hyderabad’s Financial District.

The acquired company owns ‘Q City’—a 0.81 million sq ft IT park. It will be rebranded as ‘The Square, 110 Financial District.’

This is Mindspace REIT’s first third-party asset purchase outside its existing Portfolio Parks. The deal was executed through its asset SPV, Horizonview Properties.

With this acquisition, Mindspace’s Hyderabad portfolio grows to 16 million sq ft. The total portfolio size increases from 37.1 million sq ft to 37.9 million sq ft. Additionally, its gross asset value rises from Rs 36,650 crore to Rs 37,210 crore. The loan-to-value ratio goes up slightly from 24.3% to 25.1%.

According to the company, the asset was secured at an 11.6% discount to its independent valuation, delivering a 9.9% capitalisation rate. It is currently 65% occupied and located opposite the US Consulate, with strong last-mile connectivity.

Mindspace said the deal is value-accretive. It boosts its net asset value by Rs 1.8 per unit, and it still has enough debt capacity for future growth.

At 10:51 AM, the shares of Mindspace REIT were trading 0.18% lower at Rs 419.37 on BSE.

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