What happened with KNSC11?
On July 24, 2026, KNSC11 approved its 6th share offering. The fund is seeking up to R$ 500 million, at a subscription price of R$ 8.95 per share (R$ 8.70 in net asset value plus R$ 0.25 in placement fees). Current shareholders have preemptive subscription rights based on a factor of 0.2274.
What is KNSC11's 6th Share Offering?
KNSC11 is a Brazilian REIT (locally called FII, or Fundo de Investimento Imobiliário) managed by Kinea, focused on mid-yield real estate credit. Its portfolio holds 89 CRIs (Certificados de Recebíveis Imobiliários — Brazilian mortgage-backed securities) plus one FII position. The fund has R$ 1.76 billion in assets under management and 283,875 shareholders. It is the lowest-fee paper-type FII in the Kinea family, charging a 1.20% annual management fee.
A credit-focused FII earns returns from the interest on the CRIs it holds. To grow its income, the fund needs more capital to acquire additional receivables. That is the purpose of a share offering: the fund sells new shares, raises cash, and deploys it into new CRIs — expanding and diversifying the portfolio.
The distribution is a public offering in Brazil, coordinated by XP Investimentos, under a best-efforts arrangement. This means the coordinator commits to selling as many shares as possible but does not guarantee full placement. If market demand falls short, the offering may close at a lower amount. This contrasts with a firm-commitment underwriting, where the bank would absorb any unsold shares.
What does it cost a shareholder to subscribe?
The R$ 8.95 subscription price has two components. The first is the issuance price of R$ 8.70, representing the fund's net asset value per share as of June 30, 2026 — what each share is worth on the fund's books. The second is the R$ 0.25 placement fee, a structuring and distribution cost passed on to subscribers, equivalent to 2.87% of the issuance price.
In practice, the R$ 8.95 subscription cost is nearly identical to the market price of R$ 8.96 on August 4, 2026. The issuance price alone (R$ 8.70) sits below the market, but the placement fee absorbs almost the entire discount. Anyone subscribing pays roughly what they would pay buying shares on the exchange at that moment.
What are preemptive rights and how do you calculate yours?
When a fund issues new shares, existing shareholders receive priority access before the general public. This is the preemptive right (direito de preferência). Its purpose is to give each shareholder the option to maintain their proportional stake — without it, every existing investor would automatically be diluted by whoever comes in.
How many new shares each holder can subscribe is governed by the preference factor, set at 0.2274 here: for every share you currently hold, you may subscribe 0.2274 new shares. In round numbers, for every 1,000 shares you own, you can subscribe approximately 227 new ones.
| Shares held | Shares eligible to subscribe | Total cost (× R$ 8.95) |
|---|---|---|
| 1,000 | ~227 | ~R$ 2,032 |
| 5,000 | ~1,137 | ~R$ 10,176 |
| 10,000 | ~2,274 | ~R$ 20,352 |
Beyond the preemptive round, there is also a residual rights round. If other shareholders do not exercise their full entitlement, those unsubscribed shares become available to investors who expressed interest in subscribing more than their proportional allotment. It is a second window for anyone wanting to increase their position beyond the factor limit.
The August dividend increased — what is driving it?
KNSC11 declared a dividend of R$ 0.11 per share for July 2026, with a record date of July 31, 2026 and payment scheduled for August 13, 2026. This is a 10% increase from the R$ 0.10 paid in June. As a Brazilian FII (REIT), the distribution is tax-exempt for individual investors under Brazilian law (Law 11,033/2004).
Context helps explain the number. In the June management report, the fund generated R$ 0.11 per share in cash earnings but distributed R$ 0.10 — the remainder went to the reserve buffer, which stood at R$ 0.08 per share. That buffer acts as a cushion allowing the fund to smooth out weaker months. The July R$ 0.11 DPS largely reflects May income, because of a roughly two-month lag between the reference IPCA inflation index reading and its flow-through to results.
| Reference month | Dividend per share |
|---|---|
| Dec 2025 | R$ 0.090 |
| Jan 2026 | R$ 0.090 |
| Feb 2026 | R$ 0.080 |
| Mar 2026 | R$ 0.110 |
| Apr 2026 | R$ 0.100 |
| May 2026 | R$ 0.100 |
| Jun 2026 | R$ 0.100 |
| Jul 2026 (paid Aug 13) | R$ 0.110 |
That same lag points to a potential headwind ahead. May's IPCA was 0.58%, but June's reading came in at just 0.33%. Since roughly 61% of the portfolio is IPCA-indexed, that deceleration is likely to weigh modestly on August results — which will reflect June's inflation. The fund's recent track record shows this pattern: monthly dividends have ranged from R$ 0.08 in February to R$ 0.11 in March and July. Roughly 89% of distributions come from CRI interest income (across the IPCA+ and CDI+ tranches), with the remainder drawn from accumulated reserves.
What does the offering mean for existing KNSC11 shareholders?
Two paths lie ahead for current investors, each leading to a different outcome.
Exercising the preemptive right: you purchase new shares at the 0.2274 factor and maintain your percentage ownership in the fund. The cost is R$ 8.95 per share — almost exactly the market price on the day. You deploy fresh capital but avoid dilution.
Not exercising: your proportional stake decreases, because total shares outstanding rise while your holding stays the same. Since the issuance price (R$ 8.70) sits below the market price, there is a minor dilutive effect on the net asset value per share for those who do not participate.
From the fund's perspective, the offering is the mechanism that enables portfolio growth and, potentially, further diversification — today the five largest CRIs account for just 14.9% of AUM, already a high degree of dispersion. The effect on per-share earnings going forward will depend on the yield of the new CRIs acquired with the raised capital.
| CRI segment | % of portfolio |
|---|---|
| Office | 24.5% |
| Residential — development | 21.3% |
| Logistics | 20.9% |
| Residential — retail mortgages | 16.9% |
| Shopping malls | 11.1% |
| Other | 5.3% |
To put the fund's scale in context: the portfolio carries a WAULT (weighted average unexpired lease term) of 5.8 years, with 61.3% indexed to IPCA+ (Brazilian CPI, marked-to-market rate of IPCA+10.31%) and 38.2% to CDI+ (Brazil's interbank rate, at CDI+3.14%). The price-to-book ratio stands at 1.03, with shares at R$ 8.96 against a NAV of R$ 8.70. In June, the fund allocated R$ 52.6 million into a Creditas CRI at IPCA+10.05% and was running at approximately 102.6% of AUM allocation — modest structural leverage via repo operations, which represent around 10.6% of AUM, higher than peers such as KNCR11 and KNHY11.
What to watch from here
- Official Commencement Announcement (date not yet confirmed): this is the event that starts the clock on the preemptive subscription period.
- July dividend payment: R$ 0.11 per share on August 13, 2026, for shareholders of record as of July 31.
- July Management Report (expected during August): will show results under the lower June IPCA reading.
- Selic rate trajectory: Brazil's benchmark interest rate (Selic) directly affects the CDI+ tranche, which accounts for 38.2% of AUM.
- Deployment pace: how and at what rates the fund invests the capital raised — that will determine whether per-share earnings hold steady.
