Thakral’s GemLife debuts on Australian bourse with A$1.65 billion market cap

It ends first day of trading up 4.1% at A$4.33, with 9.12 million stapled securities transacted

Thakral Corporation’s investee company in Australia, GemLife Communities Group, on Thursday (Jul 3) debuted on the Australian Securities Exchange on a conditional and deferred settlement basis.

On its first day of trading, GemLife rose 4.1 per cent to A$4.33, logging a market capitalisation of A$1.65 billion (S$1.4 billion), with 9.12 million stapled securities transacted, Thakral said in a statement.

GemLife’s initial public offering (IPO) is Australia’s largest this year – it raised A$750 million from around 180.3 million stapled securities offered at A$4.16 apiece.

The lifestyle resort operator intends to use the proceeds from the IPO to support its growth, including the acquisition of the Aliria Group portfolio, which is expected to increase its pipeline from about 6,500 homes to 9,836.

The funds will also be used to reduce debt, strengthen its balance sheet, and as additional working capital.

Thakral subscribed to an additional 600,962 GemLife stapled securities at the IPO price, bringing its holdings to about 64 million stapled securities. It has an effective interest of 31.7 per cent in GemLife.

It noted previously that its effective interest in the Australian company would be around 16.8 per cent post-dilution.

Shares of Thakral, on the Singapore Exchange, ended Friday 5.6 per cent or S$0.08 lower at S$1.35.

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