Following the launch of a private placement on Sept 9, the manager of Ascott Residence Trust (ART) has announced that 152.6 million new stapled securities have been placed at an issue price of 98.3 cents per new stapled security, raising $150 million in gross proceeds.
See: Ascott Residence Trust buys Texas student accommodation for US$70 mil; launches private placement to raise $150 mil
The issue price stands at the lower end of the private placement’s launch range between 98.3 cents and $1.014. It represents a 5.5% discount to the volume weighted average price (VWAP) of $1.040 per Stapled Security as well as a 5% discount to the adjusted VWAP of $1.034 per stapled security.
The private placement was approximately two times covered with participation from new and existing institutional and other accredited investors.
The trading of the new stapled securities is expected to commence at 9am on Sept 20.
Units in ART closed at $1.04 on Sept 8 before trading was suspended at 7.30am on Sept 9. Trading of ART’s units will resume today.
Photo: ART
