Category Archives: Funds

ASCENDAS Real Estate Investment Trust (A-Reit) plans to issue 185 million new units to raise funds for property development and further acquisition.

The private placement of new units will be priced at between $1.63 and $1.70 per unit and is expected to raise net proceeds of at least $296 million.

Of that amount, A-Reit intends to use about $175 million to develop its high-tech SingTel industrial facility.

About $121 million will be used to fund further acquisition and potential development of properties. Some debt will also be repaid, it said.

‘The private placement is a chance to strengthen A-Reit’s balance sheet to take advantage of potential investment opportunities,’ said Mr Tan Ser Ping, chief executive officer of Ascendas Funds Management, the manager of A-Reit.

Such investment opportunities have already been marked out, and ’some of these may gradually materialise as the economic condition Continue reading →

It says new funds could strengthen its capital structure

ASCENDAS Real Estate Investment Trust (A-Reit) is looking to raise at least $301.6 million through a private placement of new units – just months after a $408 million cash call in January.

The private placement will ’strengthen A-Reit’s balance sheet to take advantage of potential investment opportunities’, said Reit manager Ascendas Funds Management’s CEO and executive director Tan Ser Ping.

A-Reit asked to halt trading in its units yesterday morning and said it is issuing 185 million new units to institutional investors at between $1.63 and $1.70 apiece. The new units are equivalent to 11 per cent of the 1.68 billion units in issue as of June 30.

The issue price range represents a discount of 3.8 to 7.8 per cent to the volume weighted average unit price last Friday.

The Reit manager, with joint lead-managers and underwriters Cazenove & Co (Singapore) and DBS Bank, will determine the issue price t Continue reading →