CapitaLand Ascendas Reit raises S$500 million from private placement of 202 million shares at S$2.47 each

[SINGAPORE] CapitaLand Ascendas Real Estate Investment Trust (Clar) has raised S$500 million from a private placement of 202.4 million units, priced at S$2.47 per unit.

The price is a discount of 5.2 per cent of the volume weighted average price (VWAP) of S$2.6059 on Tuesday (May 27), its last traded closing price. Trading in the counter resumes on Thursday.

The issue price also represents a discount of 2.8 per cent to the adjusted VWAP of S$2.5411 per unit, Clar’s manager said on Thursday.

The placement, which will partially fund the acquisition of Tai Seng data centre and Science Park building, was about 4.1 times subscribed. Investors included new and existing unitholders, long only funds, real estate specialists, private wealth and multi-strategy investors, the manager said.

Clar announced the acquisitions of the two prime Singapore properties on Wednesday.

With a purchase consideration of around S$700.2 million, the proposed acquisitions will raise the value of Clar’s Singapore portfolio by 6.6 per cent to around S$11.7 billion. The Singapore portfolio will account for 67 per cent of its total assets under management of S$17.6 billion.