Following its announcement on Oct 20, the manager of Mapletree Logistics Trust (MLT) says it expects to raise some $644.1 million comprising $500.0 million from the private placement, and another $144.1 million from the preferential offering.
See: Mapletree Logistics Trust to raise $650.0 mil through equity fund
The manager says it intends to use $626.6 million to partially fund the acquisitions and $17.5 million to pay the estimated professional and other fees and expenses incurred by the acquisitions and equity fund raising.
See also: Mapletree Logistics Trust plans DPU and NAV accretive acquisition for $1.04 billion
According to an SGX filing, the private placement was approximately 5.5 times covered including the upsize option.
The issue price per new unit under the private placement has been fixed “at the top end” of the price range of $2.027 per new unit, which represents a discount of some 1.2% to the adjusted volume weighted average price (VWAP) of $2.0513 per unit. The price also represents a discount of 2.5% to the VWAP of $2.0781 per unit for all trades on the SGX-ST on Oct 19 up to the time the agreement was signed.
The upsize option was exercised in full.
The issue price per new unit under the preferential offering has been fixed at $1.99, representing a discount of 3.0% and 4.2% to the adjusted VWAP and VWAP of $2.0513 and $2.0781 per unit respectively.
A total of 246.7 million new units will be issued under the private placement.
In connection with the private placement, the manager intends to declare an advanced distribution for the period from Oct 1 to the date immediately before the date, which the new units are issued together with the 2QFY2020/2021 distribution.
The distribution per unit (DPU) under the cumulative distribution is estimated to be between 2.669 and 2.687 cents.
DBS’s treasury investments unit has been allocated 1.5 million new units. SGX-ST has stated that it has “no objections” to the placement of new units in DBS TI if the bank does not increase its interest in MLT above 5%, and that the bank operates independently from the management of MLT and Mapletree Investments.
Units in Mapletree Logistics Trust closed $2.08 on Oct 19, following a trading halt on Oct 20.
