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

Proceeds will help fund S$700 million purchase of Tai Seng data centre, Science Park building

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 a data centre in Tai Seng and a building in Science Park, 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.

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