Singapore-based REIT Mapletree Industrial Trust (MIT) has completed a private placement of 190.3mn new units at a price of S$2.696/unit, MIT’s manager announced this morning. The transaction was priced at a 2.3% discount to the volume weighted average price (VWAP) of S$2.7596 for trades done on Wednesday. Further, MIT also plans to issue 117.6mn new units of non-renounceable preferential shares at a price of S$2.65/unit, at a 4.3% discount to the VWAP. The manager said that expected gross proceeds from the issuance is S$823.3mn ($618mn), S$512.9mn ($385mn) from the private placement and S$310.4mn ($233mn) from the preferential offering.
Part of the proceeds (88.2%) from the equity fund raise will be used to partially fund its planned $1.32bn acquisition of 29 data centres in the US; 7.6% will be used to repay debt and the balance to cover fees and expenses incurred from the transaction, for future acquisitions and general working capital purposes. DBS, OCBC, Merrill Lynch (Singapore) and UBS’s Singapore branch were the joint global coordinators and bookrunners for the equity fundraising.
MIT’s 3.15% SGP perp traded 0.1 point higher to 100.825 yielding 2.97% on the secondary markets.
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