Mapletree Industrial plans $800m IPO

Mapletree Industrial Trust plans to raise about $800 million from an initial public offering in Singapore to buy six properties and repay debt, according to a term sheet sent to investors.

The trust is offering 1.01 billion units, or up to 69 per cent of its market capitalisation, in the IPO, which includes a greenshoe – or overallotment option – of 91.75 million units.

Trading will start on Oct 21, according to the term sheet obtained by news agencies. Mr Sonny Phua, a Mapletree spokesman, declined to comment.

The trust has assets of $1.73 billion, including factories and business parks located throughout Asia.

It is owned by Mapletree Investments, the real estate unit of Singapore investment company Temasek Holdings. The road show for the offering is scheduled to begin on Sept 30, according to the term sheet.

Citigroup, DBS, Goldman Sachs and Standard Chartered are book runners for the deal.

Mapletree Industrial Trust will be Shariah-compliant to help attract Middle East investors seeking stable yields, Mapletree Investments chief executive officer Hiew Yoon Khong had said in June.

That was when the company announced plans to launch two Reits: A commercial property trust and an industrial property trust.

News of Mapletree’s offer comes a week after reports that Singapore’s other sovereign wealth fund, the Government of Singapore Investment Corp, was also planning to list its logistics real estate unit – Global Logistic Properties (GLP).

GLP plans to raise as much as US$3 billion ($4 billion) from its IPO and is expected to debut on the Singapore Exchange on Oct 15, according to a source close to the matter.

Source : Today – 17 Sep 2010

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