The manager of ESR-REIT has announced that 268.8 million new units in the REIT will be issued and listed as of 9am on May 18 under a private placement at an issue price of 37.2 cents per unit, amounting to gross proceeds of $100 million.
The private placement follows the manager’s proposed equity fundraising of not more than $150 million via a private placement and preferential offering. Given the gross proceeds raised from the private placement, the management has reiterated that gross proceeds from the preferential offering will not exceed $50 million.
SEE:ESR-REIT completes 10% acquisition of ESR Australia Logistics Partnership for A$60.5 mil
The manager had previously announced the proposed fundraising in conjunction with its announcement on the acquisition of assets in Singapore and Australia and proposed asset enhancement initiatives (AEIs). Proceeds from the fundraising will be used to finance the acquisitions and AEIs.
The manager states that a circular on the proposed preferential offering will be issued in due course.
Shares in ESR-REIT closed 1 cent or 2.63% higher at 39 cents on May 17.
