Author: tfwee
MapleTree – SGX
LIFTING OF TRADING HALT
Mapletree Logistics Trust Management Ltd. (the “Manager”), the manager of Mapletree Logistics Trust (“MapletreeLog”), yesterday received a capital fund raising proposal.
A trading halt was requested while the Manager considered the proposal. After evaluating the proposal and MapletreeLog’s potential property acquisitions and the timeline for their completion, the Manager decided that it was not in the best interest of MapletreeLog and its unitholders to proceed with the fund raising proposal at this time.
Accordingly, the trading halt is lifted.
Link : SGX
Saizen – CNA
Saizen REIT unit gets S$15.7m loan from Japan’s Mizuho bank
Yugen Kaisha JOF, a subsidiary of mainboard-listed Saizen REIT, has entered into an agreement for a S$15.7-million loan from Japan’s Mizuho Bank.
The loan, which has been fully disbursed, has a term of 10 years.
Under the terms, the asset manager of Saizen will act as a guarantor for the loan, and the property portfolio of Yugen will be pledged as security for the loan.
The proceeds will be used to fully repay a S$6.3-million short-term bridging loan that the Saizen unit has from Star Finance, and the balance will be used for working capital purposes.
Saizen said on Thursday its asset manager plans to explore further financing possibilities with Mizuho.
K-REIT – BT
K-Reit Asia proposes rights issue to raise $620m
80.8% of gross proceeds will be used to repay loans from Kephinance
K-REIT Asia yesterday proposed a one-for-one rights issue to raise some $620 million in gross proceeds.
The proposed issue price of 93 cents per unit is at a 21.2 per cent discount to yesterday’s closing price of $1.18 per unit. The issue price is also an 11.8 per cent discount to the theoretical ex-rights price of $1.06 per unit.
Chief executive Ng Hsueh Ling of K-Reit Asia Management (the manager of K-Reit Asia) said that the proposed issue of about 666.7 million units at this price would ‘provide significant funding headroom and put K-Reit Asia in a strong financial position to seize future acquisition opportunities’.
The manager intends to use 80.8 per cent of the gross proceeds to repay loans from Kephinance Investment. These include a bridging loan to be drawn down for the acquisition of six strata floors of Prudential Tower.
Another 18.5 per cent of the proceeds will fund K-Reit Asia’s ‘potential acquisitions and asset enhancement initiatives’, and for general corporate and working capital purposes.
Estimated fees and expenses incurred for the rights issue are expected to take up the remaining 0.7 per cent.
The completion of this rights issue is expected to bring K-Reit Asia’s leverage down, from 33 per cent to 9.1 per cent. This implies an additional funding capacity of about $438.3 million to $647.8 million, which the manager says will enhance its financing flexibility.
In support of the rights issue, Keppel Corporation and Keppel Land Limited have undertaken to subscribe for their pro-rata entitlement of rights units, via their respective wholly owned subsidiaries. Together, they own about 75.8 per cent of K-Reit Asia’s units in issue.
The remaining 24.2 per cent of rights units will be underwritten by BNP Paribas Singapore, which is acting as lead manager, underwriter and financial adviser for this rights issue.
The rights units will be equal in all aspects to the existing units in issue, and will be entitled to any distribution accrued to units from July 1 onwards.
Unitholders who do not wish to subscribe for the rights units have the option to renounce or sell their rights entitlements during the ‘nil-paid’ rights trading period to realise their value. Entitled unitholders may also apply for excess rights units.
An extraordinary general meeting will be convened to obtain unitholders’ approval of this rights issue.
K-REIT – CNA
K-REIT to raise S$620m through one-for-one rights issue
It is offering about 667 million rights units at 93 cents each, representing a 21.2 per cent discount to K-REIT Asia’s closing price of S$1.18 per unit on September 30.
K-REIT Asia said it intends to use about 80 per cent of the gross proceeds to repay borrowings provided by Kephinance Investment. This includes a bridging loan to be drawn down for the acquisition of six strata floors of Prudential Tower.
The remaining proceeds are to be used to fund potential acquisitions and asset enhancement initiatives, as well as general corporate and working capital purposes.
When the rights issue is completed, K-REIT Asia said its aggregate leverage is expected to decrease from 33 per cent to 9.1 per cent.
Keppel Corporation and Keppel Land, which together own about 75.8 per cent of K-REIT Asia’s units, have undertaken to subscribe for their entitlement of rights units.
The remaining 24.2 per cent of rights units will be underwritten by BNP Paribas, Singapore Branch, which is acting as lead manager, underwriter and financial adviser for the rights issue.
An extraordinary general meeting is expected to be convened to approve the rights issue.