Mindspace Business Parks REIT

Published on 29th July 2020
Technology

Mindspace Business Parks REIT owns a quality office portfolio located in four key office markets of India. Its portfolio has total leasable area of 29.5 msf and is one of the largest Grade-A office portfolios in India. Portfolio comprises 23.0 msf of completed Area, 2.8 msf of under construction area and 3.7 msf of future development area, as of March 31, 2020.
Current dividend yield works out to ~3.5% for Mindspace REIT (M-REIT), which is projected to increase to 7.5% in FY22E. Though uncertainties due to Covid-19 related issues pose risks to earnings in the near term, we believe that in the long run there will be a steady increase in earnings. Most of the earnings will be paid out in the form of dividends, which is tax exempt for all categories of investors. Post the IPO, there will also be a debt reduction of ~ ?3,000cr for the company, which will bring down debt to equity ratio from 2.95x at the end of FY20 to below 1.0x, which is a key positive.
Given the current uncertainties due to Covid-19 the listing gains may be limited. We believe that in the long run M-REIT will offer similar or better post tax yields as compared to fixed income. Steady and growing dividend stream along with capital appreciation of underlying asset makes it an attractive investment opportunity in the long run. We recommend ‘Subscribe’ to the issue from a long term investment perspective.

Download Full ReportPDF download
View Full Report in Browser

Related Post

KFin Technologies IPO

CMP: NA
Target Price: NA

Incorporated in 2017, KFin Technologies Limited is a leading technology-driven financial s

Sula Vineyards Limited IPO

CMP: NA
Target Price: NA

Incorporated in 2003, Sula Vineyards Limited is Indias largest wine producer and seller as

Archean Chemical Industries Limited IPO

CMP: NA
Target Price: NA

Incorporated in 2009, Archean Chemical is a leading specialty marine chemical manufacturer

Five Star Business Finance Ltd IPO

CMP: NA
Target Price: NA

Incorporated in 1984, Five Star Business Finance Ltd (FSBFL) is an NBFC-ND-SI (Non-Banking

Kaynes Technology India Ltd IPO

CMP: NA
Target Price: NA

Incorporated in 2008, Kaynes Technology India Limited (KTIL) is a leading end-to end and I

Global Health Limited IPO

CMP: NA
Target Price: NA

Incorporated in 2004, Global Health Limited (GHL) is one of the largest private multi-spec

Bikaji Foods International Limited IPO

CMP: NA
Target Price: NA

Incorporated in 1995, Bikaji Foods International Limited (Bikaji Foods) is among the India

Fusion Micro Finance Limited IPO

CMP: NA
Target Price: NA

Incorporated in 1994, Fusion Micro Finance Limited (FML) is one of the youngest companies

DCX Systems Limited IPO

CMP: NA
Target Price: NA

Incorporated in 2011, DCX Systems Limited (DSL) is among the leading Indian players in the

Electronics Mart India Limited IPO

CMP: NA
Target Price: NA

Incorporated in 1980, Electronics Mart India Limited (EMIL) is the 4th largest consumer du

KFin Technologies IPO

CMP: NA
Target Price: NA

Incorporated in 2017, KFin Technologies Limited is a leading technology-driven financial s

Sula Vineyards Limited IPO

CMP: NA
Target Price: NA

Incorporated in 2003, Sula Vineyards Limited is Indias largest wine producer and seller as

Archean Chemical Industries Limited IPO

CMP: NA
Target Price: NA

Incorporated in 2009, Archean Chemical is a leading specialty marine chemical manufacturer

Five Star Business Finance Ltd IPO

CMP: NA
Target Price: NA

Incorporated in 1984, Five Star Business Finance Ltd (FSBFL) is an NBFC-ND-SI (Non-Banking

Kaynes Technology India Ltd IPO

CMP: NA
Target Price: NA

Incorporated in 2008, Kaynes Technology India Limited (KTIL) is a leading end-to end and I

Global Health Limited IPO

CMP: NA
Target Price: NA

Incorporated in 2004, Global Health Limited (GHL) is one of the largest private multi-spec

Bikaji Foods International Limited IPO

CMP: NA
Target Price: NA

Incorporated in 1995, Bikaji Foods International Limited (Bikaji Foods) is among the India

Fusion Micro Finance Limited IPO

CMP: NA
Target Price: NA

Incorporated in 1994, Fusion Micro Finance Limited (FML) is one of the youngest companies

DCX Systems Limited IPO

CMP: NA
Target Price: NA

Incorporated in 2011, DCX Systems Limited (DSL) is among the leading Indian players in the

Electronics Mart India Limited IPO

CMP: NA
Target Price: NA

Incorporated in 1980, Electronics Mart India Limited (EMIL) is the 4th largest consumer du

KFin Technologies IPO

CMP: NA
Target Price: NA

Incorporated in 2017, KFin Technologies Limited is a leading technology-driven financial s

Sula Vineyards Limited IPO

CMP: NA
Target Price: NA

Incorporated in 2003, Sula Vineyards Limited is Indias largest wine producer and seller as

Archean Chemical Industries Limited IPO

CMP: NA
Target Price: NA

Incorporated in 2009, Archean Chemical is a leading specialty marine chemical manufacturer

Five Star Business Finance Ltd IPO

CMP: NA
Target Price: NA

Incorporated in 1984, Five Star Business Finance Ltd (FSBFL) is an NBFC-ND-SI (Non-Banking

Kaynes Technology India Ltd IPO

CMP: NA
Target Price: NA

Incorporated in 2008, Kaynes Technology India Limited (KTIL) is a leading end-to end and I

Global Health Limited IPO

CMP: NA
Target Price: NA

Incorporated in 2004, Global Health Limited (GHL) is one of the largest private multi-spec

Bikaji Foods International Limited IPO

CMP: NA
Target Price: NA

Incorporated in 1995, Bikaji Foods International Limited (Bikaji Foods) is among the India

Fusion Micro Finance Limited IPO

CMP: NA
Target Price: NA

Incorporated in 1994, Fusion Micro Finance Limited (FML) is one of the youngest companies

DCX Systems Limited IPO

CMP: NA
Target Price: NA

Incorporated in 2011, DCX Systems Limited (DSL) is among the leading Indian players in the

Electronics Mart India Limited IPO

CMP: NA
Target Price: NA

Incorporated in 1980, Electronics Mart India Limited (EMIL) is the 4th largest consumer du

Open Free Demat Account!
Join our 3.5 Cr+ happy customers