Mapletree North Asia Commercial Trust (MNACT) raised S$250mn via a Perpetual non-call 5Y (PerpNC5) bond at a yield of 3.5%, 20bp inside initial guidance of 3.7% area. The bonds were unrated and received orders over $1.1bn, 4.4x issue size. Private banks bought 60% and will receive a 25-cent commission. Fund managers, insurance companies and banks took the remaining 40%. Singapore accounted for 97%. The bonds have a coupon reset at the prevailing SOR + 252.7bp at the end of the fifth year and every five years thereafter if not called. The coupons are deferrable and non-cumulative. There is no step-up. IFR notes that as the bonds were unrated, the pricing was much higher, 52bp wider vs. Mapletree’s BBB- rated S$300mn 3.5% PerpNC5 that currently yields 2.98%. MNACT has signed a conditional sale and purchase agreement with Japanese real estate and insurance company Hulic as per which MNACT will take a 98.47% interest in the Hewlett-Packard Japan Headquarters building, which is valued at ~$474.7mn. Proceeds will be used to partly fund a ¥38.8bn ($353.7mn) acquisition of the commercial building in Tokyo.