Offer structure and demand on the first day
Blackstone’s offer for sale of up to 25.03% of listed office REIT Knowledge Realty Trust was subscribed 1.4 times on the first day of bidding on 31 August 2026, indicating strong non-retail demand. BSE data showed bids for roughly 93.14 crore units against an offer size of 66.60 crore units, with subscription reaching 139.85% by the close of the day. The floor price was set at Rs 108 per unit, and the OFS window runs across 31 August and 1 September 2026.
Size of the transaction and Blackstone’s residual stake
The OFS comprises a base offer of 16.69% with an oversubscription option of up to 8.34%, taking total potential divestment to 25.03%. Valued at up to Rs 11,988 crore, it is the largest offer for sale in India’s private sector. Four Blackstone-affiliated entities — BREP Asia SG L&T Holding, BREP Asia SG DRPL Holding, BREP Asia II Indian Holding Co IV and BREP Asia II Indian Holding Co VII — are divesting the units. After the sale, Blackstone will continue to hold a 21.5% stake in the REIT.
Investor participation and price reaction
PPFAS Asset Management and 360 ONE Asset Management were among the key investors in the OFS, according to people familiar with the development. Ahead of the offering, Knowledge Realty Trust units were quoting at Rs 110.99, down 2.02%, and traded between an intraday low of Rs 110.49 and a high of Rs 111.79 as the market absorbed the OFS announcement.
Background on the REIT and the broader market
Knowledge Realty Trust, backed by Blackstone and Sattva Group, debuted in August 2025 and is India’s largest office REIT by gross asset value. The REIT focuses on commercial real estate with 29 assets across six cities. India’s REIT market has expanded rapidly, attracting significant investor interest, and partial sponsor stake sales are a common post-listing monetisation approach for private equity sponsors.
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