A-Reit heralds real estate bonanza

Could the success of A-Reit''s recent placement be the start of a real estate financing boom, helped, ironically, by the failure of Link Reit?

Singapore property investment trust A-Reit priced its inaugural capital raising of the year on Monday meeting a warm welcome from investors. The S$205 million $126 million placement of new units was nearly four times subscribed. And although the deal was said to be covered at the strike price, the lead managers, Citigroup and UBS, decided to price at a 1% discount to the adjusted close, leaving some upside for investors.

Some 75 orders were received, mainly from long only funds, although some hedge funds came into the book early to create some momentum. After a four-hour accelerated book build the deal was closed with 50% going to Singapore,...

FinanceAsia has updated its subscription model.

Registered readers now have the opportunity to read 5 articles from our award-winning website for free.

To obtain unlimited access to our award-winning exclusive news and analysis, we offer subscription packages, including single user, team (2-10 users), or office-wide licences.

To help you and your colleagues access our proprietary content, please contact us at subscriptions@financeasia.com, or +(852) 2122 5222

Article limit is reached.

Hello! You have used up all of your free articles on FinanceAsia.

To obtain unlimited access to our award-winning exclusive news and analysis, we offer subscription packages, including single user, team (2-10 users), or office-wide licences. To help you and your colleagues access our proprietary content, please contact us at subscriptions@financeasia.com, or +(852) 2122 5222