Perennial China Retail Trust’s IPO 1.6 times subscribed

The initial public offering of Perennial China Retail Trust (PCRT) has gained strong interest from both institutional and public investors.

PCRT said in a statement that the S$776.2 million IPO was 1.6 times subscribed.

The trust added that its initial eight cornerstone investors make up 46.1 per cent – or 516.6 million units – of PCRT upon completion of the offering.

Together with the additional units subscribed by one of the cornerstone investors, Shanghai Summit, and the subscription by Perennial Real Estate, the parties are set to hold 60.8 per cent of PCRT.

“We are especially encouraged by the strong support from real estate specialists, long-only funds and private wealth funds who account for over 80.0 per cent of the total offering,” said Mr Pua Seck Guan, chief executive officer of Perennial China Retail Trust Management.

“This underscores not only the confidence they have in the quality and fundamentals of our assets, strong growth potential of the portfolio, but also the experience and track record of our management,” he added.

He said PCRT’s strong portfolio of assets is well-poised to capitalise on the retail growth in China and will provide unit holders “an attractive total return of strong net asset value growth and stable distributions”.

PCRT shares were offered at S$0.70 per unit via three tranches – the cornerstone and sponsor, international placement, and public offer – in Singapore.

Results of the balloting for the public offer will be announced on Wednesday and PCRT units will commence trading on the Singapore Exchange on Thursday.

Source : Channel NewsAsia – 7 Jun 2011

Join The Discussion

Compare listings