CAPITALAND Integrated Commercial Trust (CICT) received valid acceptances of 82 per cent at the close of its preferential offering on Tuesday (Sep 24).
In a bourse filing on Thursday, the manager of the real estate investment trust said that it received valid acceptances of 309.5 million new units and excess applications of 183 million units.
The pro-rata non-renounceable offering put forward a basis of 56 new units for every 1,000 existing units held as at 5 pm on Sep 11, at an issue price of S$2.007 per new unit.
A total of 377.3 million new units will be issued to raise gross proceeds of about S$757.2 million, said the manager.
Together with around S$350.3 million raised from an earlier private placement, gross proceeds totalling about S$1.1 billion were raised from the equity fundraising.
The exercise, announced on Sep 3, was intended to raise gross proceeds of at least S$1.1 billion to fund a proposed acquisition of a 50 per cent interest in Ion Orchard mall and its connecting underpass, Ion Orchard Link, from its sponsor CapitaLand Investment.
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The manager intends to use some S$1.08 billion, or 97.8 per cent, of total gross proceeds to finance the proposed acquisition.
Around S$4.7 million, or 0.4 per cent of gross proceeds, will be used to repay and refinance debt and/or capital expenditures, as well as asset enhancement initiatives.
About S$19.9 million, or 1.8 per cent, will go towards the payment of estimated fees and expenses, including professional fees and expenses incurred by the trust in connection with the equity fundraising.
On Sep 4, CICT’s manager said its private placement – which closed at S$2.04 per new unit – was 3.7 times subscribed with “strong demand” from new and existing institutional, accredited and other investors.
The preferential offering units are expected to be listed and quoted on the mainboard of the Singapore Exchange from 9 am on Oct 2.
Units of CICT closed Thursday up S$0.04 or 1.9 per cent at S$2.14, before the announcement.
