CapitaMalls Asia Ltd, one of the largest property developer in Singapore will list of its Malaysian assets in a real estate investment trust (REIT) on Bursa Malaysia.
The listing of CapitaMalls Malaysia Trust (CMMT) REIT on the Main Market of Bursa Malaysia on July 16 is expected to have a market capitalisation of RM1.4bil if an over-allotment option of up to 15% of the offering of 786 million units is exercised. If this portion is not exercised, it may raise RM864mil.
The IPO follows the RM1.5bil raised by Sunway REIT in its initial sale last week.
Its initial portfolio are three shopping malls in Gurney Plaza, Penang, Sungei Wang Plaza in Kuala Lumpur and The Mines in Selangor. The total net lettable area are 1.88 million sq ft and valued at RM2.13 bil.
CMMT’s parent CapitaMalls Asia will retain a stake of 41.74 per cent. However, if an over-allotment option of up to 15 per cent of the offering is exercised, CapitaMalls Asia’s stake in CMMT will drop to 33 per cent.
The retail offering in Malaysia consists of 67.5 million units made available for application by the Malaysian public and eligible directors and employees at the retail price.
The final retail price will be below the retail offer price of RM1.08 per unit or the institutional price less a discount of 2.0 sen.
At an indicative price of RM1.08, the retail offer will provide a distribution yield of 6.9 per cent to the prospective investor based on its distribution per unit of 7.45 sen for 2011.
If you are interested to subscribe, you may do so via your broker or ATM machines or through internet banking such as Maybank2u or CIMBClicks.
Click here to download CapitaMalls REIT Prospectus.