CapitaLand India Trust (CLINT) is seeking to raise $150 million in gross proceeds via a private placement for institutional, accredited and “other” investors.
The units will be issued at a price range of between $1.208 and $1.237, which represents a discount of between 2.6% and 4.9% to the volume weighted average price (VWAP) of $1.2701 per unit on Feb 23. The price range also represents a discount of between 1.5% and 3.8% to the adjusted VWAP of $1.2557 per unit on the same day.
Of the target proceeds raised, CLINT will use $100 million to partially fund the ongoing development and construction of an office building, Building 1 in Ebisu, Bangalore, in return for an annual coupon rate of at least 11.5% payable to CLINT. The terms come an under an existing forward purchase agreement CLINT entered into with the developer of the building. The building, which measures some 1.2 million sq ft, has a remaining funding commitment of around INR8.6 billion ($123 million) as at Dec 31, 2025.
Another $47.4 million will also partially fund the ongoing development and construction of another 1.1 million sq ft office building, “The Beacon” at Nagawara, Outer Ring Road, Bangalore, also in return for a coupon rate of at least 11.5%. The project’s remaining funding commitment stood at around INR10.7 billion ($152 million) as at Dec 31, 2025.
The balance of $2.6 million will go towards fees and expenses.
Should the development and construction of Building 1 and, or “The Beacon” not materialise, CLINT will use the net proceeds towards its existing committed projects in the pipeline.
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On Feb 25, CLINT announced that it has placed 124.2 million units at a unit price of $1.208 per unit. The private placement was about 2.6 times covered with strong participation from a mix of new, existing institutional, accredited and other investors.
