Clint closes private placement of 124.2 million new units at S$1.208 per unit
It will use the S$150 million raised to partially fund two buildings in Bengaluru, India
[SINGAPORE] CapitaLand India Trust (Clint) has closed a private placement where it sought to raise at least S$150 million to fund two buildings in Bengaluru, India, the trustee-manager said on Wednesday (Feb 25).
Clint issued 124.2 million new units at S$1.208 per unit in the placement, which was 2.6 times covered with new and existing institutional, accredited and other investors taking part.
The issue price represents a discount of about 4.9 per cent to the volume-weighted average price of S$1.2701 per unit of all trades on Monday, before the trust called for a trading halt on Tuesday, when it announced the placement.
The halt will be lifted for Wednesday’s trading.
The new units’ price is a 3.8 per cent discount to the adjusted volume-weighted average price of S$1.2557 per unit on Monday, which excludes an estimated advanced distribution of about S$0.0144 per unit.
About S$100 million of the proceeds will be used to partially fund the ongoing development and construction of the 1.2 million square foot (sq ft) office property Building 1, Ebisu in Bengaluru – set to be completed in the second half of this year. In return, Clint will receive an annual coupon rate of at least 11.5 per cent under an existing agreement with the developer.
Navigate Asia in
a new global order
Get the insights delivered to your inbox.
Meanwhile, about S$47.4 million of the proceeds will partially fund the ongoing development and construction of the 1.1 million sq ft office building The Beacon at Nagawara in Bengaluru – in return for at least 11.5 per cent coupon.
The trading of the new units is expected to commence on Mar 5, said the trustee-manager.
Decoding Asia newsletter: your guide to navigating Asia in a new global order. Sign up here to get Decoding Asia newsletter. Delivered to your inbox. Free.
