Sasseur Reit plans up to $600 million IPO in March
Sasseur Group is planning to list Sasseur Reit on the Singapore Exchange in March, with the IPO expected to raise between $500 million to $600 million.
Published
Feb 11, 2018, 6:43 pm SGT
Updated
Feb 11, 2018, 10:41 pm
Marissa Lee
SINGAPORE - Sasseur Group, a Shanghai-based developer of outlet malls which last year pushed back plans for a Reit listing here, has begun gauging investor interest again with plans to list Sasseur Reit in March.
The initial public offering (IPO) could raise between $500 million to $600 million and Sasseur Reit would have a market cap of $1 billion upon its debut, according to a term sheet.
The Reit promises an indicative yield of 7 per cent in 2018 and mid-7 per cent in 2019, and would be the first outlet mall Reit to be listed on the Singapore Exchange.
Sasseur Reit's IPO portfolio will comprise four retail outlet malls in China valued at about $1 billion, it said last year.
Based on Sasseur's indicative timeline, the IPO prospectus will be lodged on March 1, ahead of the listing on March 29.
DBS Bank, Bank of China, Citibank and Maybank Kim Eng are the joint bookrunners.
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Showing posts with label reit. Show all posts
Showing posts with label reit. Show all posts
Monday, 12 February 2018
Friday, 17 November 2017
Pan-European Reit takes Singapore IPO leap
Pan-European Reit takes Singapore IPO leap
Cereit revives plan after dropping some Polish properties from portfolio to address concerns of investors unfamiliar with that market
THU, NOV 16, 2017 - 5:50 AM
ANNABETH LEOWleowhma@sph.com.sg@AnnabethLeowBT
BT_20171116_ABCROMWELL_3178567.jpg Above: Priorparken 700 in Denmark, a large warehouse with a two-storey side office, is among the 74 properties in the Cromwell European Reit (Cereit) portfolio.
THE initial public offering (IPO) of what would be Singapore's first euro-denominated real estate investment trust is now set for the coming fortnight, though with the Reit shorn of some of its original portfolio.
Australia-listed Cromwell Property Group on Wednesday lodged an amended prospectus to list Cromwell European Reit (Cereit), after having previously cited "market conditions" when it put the brakes on the process.
The delay of the IPO and the axing of certain properties in Poland came amid what The Business Times understands was investor concern over the lack of familiarity with that market.
Cereit is now gunning for gross proceeds of 865.7 million euros (S$1.39 billion) - down from an initial target of 1.2 billion euros - at an issue price of 0.55 euro for each unit.
SEE ALSO: Australia's Cromwell revives pan-European Reit listing after dropping Polish assets from IPO portfolio
A total of 428.54 million units will be offered to public and institutional investors - a combined interest of 27.1 per cent, assuming that the over-allotment option is not exercised. This tranche of units will raise about 235.7 million euros.
Meanwhile, the two original cornerstone investors - Cerberus Singapore and Hillsboro Capital, each with an 11.6 per cent stake - have been joined by Gordon and Celine Tang, the couple behind property company SingHaiyi Group, who are jointly taking a 13.9 per cent interest.
Assuming the over-allotment option is not exercised, Cromwell Property Group's subsidiary Cromwell Singapore Holdings Pte Ltd will hold 551.7 million shares, or 35 per cent, while the manager will hold another 11.9 million, or 0.8 per cent. In all, the sponsor will have a 35.8 per cent interest.
Seven retail properties in Poland have been dropped from the planned portfolio. The appraised value of these assets was about 480 million euros.
This leaves 74 properties, largely office or light industrial and logistics buildings, which are together worth an estimated 1.35 billion euros. Of these assets, 60 are now held by funds that the sponsor group manages; the other 14 will be acquired from a third party.
A good chunk of the IPO proceeds will go towards buying these properties. The rest will be used for tax, working capital and other net asset value adjustments.
The Reit's portfolio is now spread across Denmark, France, Germany, Italy and the Netherlands - and the medium- to long-term target portfolio, according to the prospectus, will have a geographic focus on western Europe.
That part of the continent will house at least 75 per cent of assets, with the rest to come from other areas in Europe. But market sources said this strategy does not indicate a pathway to the immediate re-introduction of the Polish assets.
The prospectus has forecast a distribution yield of 7.8 per cent for the coming year, against the 5.9 per cent yield for the FTSE Straits Times Reit Index.
The Cereit IPO is expected to open next Wednesday, according to the indicative timetable in the prospectus, and will close on Nov 28.
Trading is slated to start two days after that, on Nov 30.
Buy?
Your thoughts?
- wong chee tat :)
Cereit revives plan after dropping some Polish properties from portfolio to address concerns of investors unfamiliar with that market
THU, NOV 16, 2017 - 5:50 AM
ANNABETH LEOWleowhma@sph.com.sg@AnnabethLeowBT
BT_20171116_ABCROMWELL_3178567.jpg Above: Priorparken 700 in Denmark, a large warehouse with a two-storey side office, is among the 74 properties in the Cromwell European Reit (Cereit) portfolio.
THE initial public offering (IPO) of what would be Singapore's first euro-denominated real estate investment trust is now set for the coming fortnight, though with the Reit shorn of some of its original portfolio.
Australia-listed Cromwell Property Group on Wednesday lodged an amended prospectus to list Cromwell European Reit (Cereit), after having previously cited "market conditions" when it put the brakes on the process.
The delay of the IPO and the axing of certain properties in Poland came amid what The Business Times understands was investor concern over the lack of familiarity with that market.
Cereit is now gunning for gross proceeds of 865.7 million euros (S$1.39 billion) - down from an initial target of 1.2 billion euros - at an issue price of 0.55 euro for each unit.
SEE ALSO: Australia's Cromwell revives pan-European Reit listing after dropping Polish assets from IPO portfolio
A total of 428.54 million units will be offered to public and institutional investors - a combined interest of 27.1 per cent, assuming that the over-allotment option is not exercised. This tranche of units will raise about 235.7 million euros.
Meanwhile, the two original cornerstone investors - Cerberus Singapore and Hillsboro Capital, each with an 11.6 per cent stake - have been joined by Gordon and Celine Tang, the couple behind property company SingHaiyi Group, who are jointly taking a 13.9 per cent interest.
Assuming the over-allotment option is not exercised, Cromwell Property Group's subsidiary Cromwell Singapore Holdings Pte Ltd will hold 551.7 million shares, or 35 per cent, while the manager will hold another 11.9 million, or 0.8 per cent. In all, the sponsor will have a 35.8 per cent interest.
Seven retail properties in Poland have been dropped from the planned portfolio. The appraised value of these assets was about 480 million euros.
This leaves 74 properties, largely office or light industrial and logistics buildings, which are together worth an estimated 1.35 billion euros. Of these assets, 60 are now held by funds that the sponsor group manages; the other 14 will be acquired from a third party.
A good chunk of the IPO proceeds will go towards buying these properties. The rest will be used for tax, working capital and other net asset value adjustments.
The Reit's portfolio is now spread across Denmark, France, Germany, Italy and the Netherlands - and the medium- to long-term target portfolio, according to the prospectus, will have a geographic focus on western Europe.
That part of the continent will house at least 75 per cent of assets, with the rest to come from other areas in Europe. But market sources said this strategy does not indicate a pathway to the immediate re-introduction of the Polish assets.
The prospectus has forecast a distribution yield of 7.8 per cent for the coming year, against the 5.9 per cent yield for the FTSE Straits Times Reit Index.
The Cereit IPO is expected to open next Wednesday, according to the indicative timetable in the prospectus, and will close on Nov 28.
Trading is slated to start two days after that, on Nov 30.
Buy?
Your thoughts?
- wong chee tat :)
Thursday, 2 November 2017
Keppel-KBS US Reit registers IPO prospectus
Keppel-KBS US Reit registers IPO prospectus
THU, NOV 02, 2017 - 5:59 PM
LYNETTE KHOOlynkhoo@sph.com.sg@LynetteKhooBT
KEPPEL-KBS US Reit has registered its prospectus for its initial public offering (IPO) with the Monetary Authority of Singapore, which will raise gross proceeds of US$553.1 million.
It is offering 262.77 million shares at 88 US cents apiece.
The offering consists of an international placement of 228.68 million units to investors outside the US ,and an offering of 34.09 million units to the Singapore public.
Separately, the cornerstone investors have agreed to subscribe for 246.37 million units, while the joint sponsors - who own the real estate investment trust (Reit) manager - are subscribing for some 119.43 million units at the offer price.
Backed by Keppel Capital and KBS Pacific Advisors as joint sponsors, Keppel-KBS US Reit's initial portfolio comprises 11 freehold office properties valued at US$829.4 million in seven growth cities in the US.
SEE ALSO: Keppel-KBS US Reit to raise gross proceeds of US$553m
"Keppel-KBS US Reit offers unitholders a strong and unique value proposition of attractive distributions with strong visible organic growth," said David Snyder, CEO and chief investment officer of the Reit manager.
"Driving this positive momentum is the favourable outlook in the office real estate sector, especially in key markets where the properties comprising Keppel-KBS US Reit's IPO portfolio are located. These are markets where economic, population and employment growth have exceeded and is projected to continue to expand above the US national average, and where asking rents for office spaces are expected to see a continued upward trend."
Christina Tan, CEO of Keppel Capital, the asset management arm of Keppel Corporation, said that the listing of Keppel-KBS US Reit is part of Keppel's aim to grow its fund management business, expand its geographic footprint into the stable US market, and tap growing demand by global investors for attractive US real estate investments.
"The Reit will be able to draw on Keppel Capital's expertise in the management of listed Reits and strong relationships with Asian investors, as well as KBS' established investment and asset management experience in US commercial real estate," Ms Tan said.
Keppel-KBS US Reit's distribution yield for 2018 is estimated to be 6.8 per cent, with an expected distribution yield of 7.2 per cent for 2019, reflecting a total return of 12.6 per cent.
The Reit's yield growth is driven by built-in rental escalations ranging from 2-3 per cent for about 97.5 per cent of the portfolio leases, the opportunity to renew expiring leases at potentially higher market rent rates, as well as potential growth in portfolio occupancy.
The pipeline of potential acquisitions will come from third-party vendors through the sponsors' deal origination capabilities.
Keppel-KBS US Reit has a distribution policy to pay out 100 per cent of its annual distributable income from the listing date to the end of 2019. It will subsequently distribute at least 90 per cent of annual distributable income on a semi-annual basis.
Distributions will be declared in US dollars, and unitholders will receive distributions in Singapore dollars, equivalent to the US dollar distribution declared. Unitholders can also choose to receive their distribution in US dollars.
Good to buy? What are your thoughts?
- wong chee tat :)
THU, NOV 02, 2017 - 5:59 PM
LYNETTE KHOOlynkhoo@sph.com.sg@LynetteKhooBT
KEPPEL-KBS US Reit has registered its prospectus for its initial public offering (IPO) with the Monetary Authority of Singapore, which will raise gross proceeds of US$553.1 million.
It is offering 262.77 million shares at 88 US cents apiece.
The offering consists of an international placement of 228.68 million units to investors outside the US ,and an offering of 34.09 million units to the Singapore public.
Separately, the cornerstone investors have agreed to subscribe for 246.37 million units, while the joint sponsors - who own the real estate investment trust (Reit) manager - are subscribing for some 119.43 million units at the offer price.
Backed by Keppel Capital and KBS Pacific Advisors as joint sponsors, Keppel-KBS US Reit's initial portfolio comprises 11 freehold office properties valued at US$829.4 million in seven growth cities in the US.
SEE ALSO: Keppel-KBS US Reit to raise gross proceeds of US$553m
"Keppel-KBS US Reit offers unitholders a strong and unique value proposition of attractive distributions with strong visible organic growth," said David Snyder, CEO and chief investment officer of the Reit manager.
"Driving this positive momentum is the favourable outlook in the office real estate sector, especially in key markets where the properties comprising Keppel-KBS US Reit's IPO portfolio are located. These are markets where economic, population and employment growth have exceeded and is projected to continue to expand above the US national average, and where asking rents for office spaces are expected to see a continued upward trend."
Christina Tan, CEO of Keppel Capital, the asset management arm of Keppel Corporation, said that the listing of Keppel-KBS US Reit is part of Keppel's aim to grow its fund management business, expand its geographic footprint into the stable US market, and tap growing demand by global investors for attractive US real estate investments.
"The Reit will be able to draw on Keppel Capital's expertise in the management of listed Reits and strong relationships with Asian investors, as well as KBS' established investment and asset management experience in US commercial real estate," Ms Tan said.
Keppel-KBS US Reit's distribution yield for 2018 is estimated to be 6.8 per cent, with an expected distribution yield of 7.2 per cent for 2019, reflecting a total return of 12.6 per cent.
The Reit's yield growth is driven by built-in rental escalations ranging from 2-3 per cent for about 97.5 per cent of the portfolio leases, the opportunity to renew expiring leases at potentially higher market rent rates, as well as potential growth in portfolio occupancy.
The pipeline of potential acquisitions will come from third-party vendors through the sponsors' deal origination capabilities.
Keppel-KBS US Reit has a distribution policy to pay out 100 per cent of its annual distributable income from the listing date to the end of 2019. It will subsequently distribute at least 90 per cent of annual distributable income on a semi-annual basis.
Distributions will be declared in US dollars, and unitholders will receive distributions in Singapore dollars, equivalent to the US dollar distribution declared. Unitholders can also choose to receive their distribution in US dollars.
Good to buy? What are your thoughts?
- wong chee tat :)
Friday, 27 October 2017
Thursday, 26 October 2017
Keppel-KBS US Reit prices IPO at 88 US cents
Keppel-KBS US Reit prices IPO at 88 US cents
PUBLISHEDOCT 26, 2017, 5:00 AM SGT
Lynette Khoo The Business Times
Keppel-KBS US Reit, sponsored jointly by Keppel Capital and KBS Pacific Advisors, is issuing 262.77 million units at US$0.88 apiece in an initial public offering (IPO).
Separately, the sponsors - which jointly own the Reit manager - are subscribing for some 119.43 million units while cornerstone investors have agreed to subscribe for 246.37 million units at the offer price.
These cornerstone investors are Affin Hwang Asset Management, Hillsboro Capital and DBS Bank, as well as certain private banking clients of Credit Suisse and DBS Bank, the preliminary IPO prospectus shows.
The over-allotment option will not exceed 12 per cent of the number of units to be issued under the placement and public offer tranche.
The proportion of placement and public offer tranche is not fixed yet.
Keppel-KBS US Reit said that it is expected to raise gross proceeds of about US$553.1 million (S$753.9 million) from this whole exercise.
The public offer opens next Thursday and closes on Nov 7.
Trading of units on the Singapore Exchange is expected to begin on Nov 9.
With an attractive distribution yield and total return, the Reit's distribution yield for next year is estimated to be 6.8 per cent, with expected distribution yield growth of 5.8 per cent for 2019, reflecting a total return of 12.6 per cent.
Some 79.5 per cent and 75.2 per cent of cash rental income for next year and 2019 respectively are derived from existing leases.
At least three-quarters of interest expense will be hedged.
The initial portfolio of Keppel-KBS US Reit will comprise 11 freehold office properties in the US worth US$804 million, with an aggregate net lettable area (NLA) of 3.23 million sq ft.
These properties are in Seattle and Sacramento on the West Coast; Denver, Austin and Houston in the central region; as well as Atlanta and Orlando in the East Coast.
They have a stable weighted average lease expiry by NLA of 3.7 years as at June 30, with below-market average rents for expiring leases.
"This offers the opportunity to lease expiring space at potentially higher market rent rates," Keppel-KBS US Reit said.
No single year has more than 20 per cent of total leases expiring.
Upon listing, Keppel-KBS US Reit will also have an aggregate leverage of 36 per cent and average debt tenure of 4.5 years, providing debt headroom of some US$131.6 million to fund future growth.
To enjoy tax transparency under US taxation rules, no single unit holder of the US Reit will hold more than 9.8 per cent of the outstanding units.
- wong chee tat :)
PUBLISHEDOCT 26, 2017, 5:00 AM SGT
Lynette Khoo The Business Times
Keppel-KBS US Reit, sponsored jointly by Keppel Capital and KBS Pacific Advisors, is issuing 262.77 million units at US$0.88 apiece in an initial public offering (IPO).
Separately, the sponsors - which jointly own the Reit manager - are subscribing for some 119.43 million units while cornerstone investors have agreed to subscribe for 246.37 million units at the offer price.
These cornerstone investors are Affin Hwang Asset Management, Hillsboro Capital and DBS Bank, as well as certain private banking clients of Credit Suisse and DBS Bank, the preliminary IPO prospectus shows.
The over-allotment option will not exceed 12 per cent of the number of units to be issued under the placement and public offer tranche.
The proportion of placement and public offer tranche is not fixed yet.
Keppel-KBS US Reit said that it is expected to raise gross proceeds of about US$553.1 million (S$753.9 million) from this whole exercise.
The public offer opens next Thursday and closes on Nov 7.
Trading of units on the Singapore Exchange is expected to begin on Nov 9.
With an attractive distribution yield and total return, the Reit's distribution yield for next year is estimated to be 6.8 per cent, with expected distribution yield growth of 5.8 per cent for 2019, reflecting a total return of 12.6 per cent.
Some 79.5 per cent and 75.2 per cent of cash rental income for next year and 2019 respectively are derived from existing leases.
At least three-quarters of interest expense will be hedged.
The initial portfolio of Keppel-KBS US Reit will comprise 11 freehold office properties in the US worth US$804 million, with an aggregate net lettable area (NLA) of 3.23 million sq ft.
These properties are in Seattle and Sacramento on the West Coast; Denver, Austin and Houston in the central region; as well as Atlanta and Orlando in the East Coast.
They have a stable weighted average lease expiry by NLA of 3.7 years as at June 30, with below-market average rents for expiring leases.
"This offers the opportunity to lease expiring space at potentially higher market rent rates," Keppel-KBS US Reit said.
No single year has more than 20 per cent of total leases expiring.
Upon listing, Keppel-KBS US Reit will also have an aggregate leverage of 36 per cent and average debt tenure of 4.5 years, providing debt headroom of some US$131.6 million to fund future growth.
To enjoy tax transparency under US taxation rules, no single unit holder of the US Reit will hold more than 9.8 per cent of the outstanding units.
- wong chee tat :)
Tuesday, 3 October 2017
Saizen REIT
Saizen REIT
Unitholders have been issued a notice of termination dated 16 May 2017 relating to the termination of Saizen REIT. Trading in the Units of Saizen REIT has been suspended with effect from 9.00 a.m. on 16 May 2017. A final distribution is scheduled for payment to Unitholders on 2 October 2017. Saizen REIT shall be delisted and terminated on 6 October 2017.
- wong chee tat :)
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