Singapore: EC World REIT sees public offer oversubscribed

EC World Asset Management Pte. Ltd., the parent company of Singapore-based EC World Real Estate Investment Trust (REIT), which received support from both retail and institutional investors for its public offering, commenced trading on the Singapore stock exchange Thursday.

EC World REIT is the first Chinese specialised logistics and e-commerce logistics REIT to be listed on the SGX and will be focusing investments on a diversified portfolio of income-producing real estate primarily used for e-commerce, supply-chain management and logistics purposes.

The REIT had sold 188.1 million units priced at 81 cents per share and had targeted a fundraise of S$629.8 million in gross proceeds, including $283.4 million from its sponsor and $194 million from cornerstone investors. Retail investors were offered 7.5 million units through the public offer.

EC World Asset Management’s geographical focus is on Hangzhou, China. Hangzhou is in the same locality as e-commerce companies Alibaba and Xiaomi. The REIT has a portfolio of six properties in Hangzhou, with a combined valuation of about 6.36 billion yuan (S$1.3 billion).

The company has secured three cornerstone investors –  BOCOM International Global Investment Limited, Fosun International Holdings Ltd. and Sunkits Resources Limited, who have subscribed to 239.5 million units at the offer price, amounting to S$194.0 million, and they now own 30.8% of the units in issue.  Forchn Investments (Singapore) Pte. Ltd., a wholly-owned subsidiary of Forchn Holdings Group Co., Ltd. subscribed to 349.9 million units at the offer price, and owns 45% of EC World REIT’s units in issue.

 

Commenting on the IPO, Peter Lai Hock Meng, CEO of EC World Asset Management Pte. Ltd., the manager of EC World REIT, said, “We are pleased to celebrate EC World REIT’s successful listing and trading today and we would like to extend our sincere appreciation to all investors for making this milestone possible.”

“Our IPO portfolio of six quality properties offers investors unique exposure to the logistics and e-commerce sectors in Hangzhou – one of the largest e-commerce hubs in China,” he continued, adding that the support Forchn Holdings Group would have the potential to grow via strategic acquisitions.

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Singapore Reporter/s

In Singapore, we are looking to double our reporting team by this year-end to comprehensively cover the fast-moving world of funded startups and VC, PE & M&A deals. We want reporters who can tell our readers what is really happening in these sectors and why it matters to markets, companies and consumers. The ability to write precisely and urgently is crucial for these roles. Ideal candidates must have to ability to work in a collaborative, dynamic, and fast-changing environment. We want our new hires to be digitally savvy and ready to experiment with new forms of storytelling. Most importantly, we are looking for hard-hitting reporters who work well in a team. Collaboration and collegiality are a must.

Following vacancies can be applied for (only in Singapore).

Following vacancies can be applied for (only in Singapore).   

  • A reporter to track companies/startups that have raised private capital, and have the potential to become unicorns. SEA currently has over 40 companies with a valuation of over $100 million and under $1 billion.
  • A reporter who can get behind the scenes and reveal how funding rounds are put together, or why they’ve failed to materialise. She/he in this role will largely focus on long-format stories. 
  • A journalist to track special situations funds, distressed debt and private credit (from the PE angle) across Asia.

Singapore Reporter/s

In Singapore, we are looking to double our reporting team by this year-end to comprehensively cover the fast-moving world of funded startups and VC, PE & M&A deals. We want reporters who can tell our readers what is really happening in these sectors and why it matters to markets, companies and consumers. The ability to write precisely and urgently is crucial for these roles. Ideal candidates must have to ability to work in a collaborative, dynamic, and fast-changing environment. We want our new hires to be digitally savvy and ready to experiment with new forms of storytelling. Most importantly, we are looking for hard-hitting reporters who work well in a team. Collaboration and collegiality are a must.

Following vacancies can be applied for (only in Singapore).

Following vacancies can be applied for (only in Singapore).   

  • A reporter to track companies/startups that have raised private capital, and have the potential to become unicorns. SEA currently has over 40 companies with a valuation of over $100 million and under $1 billion.
  • A reporter who can get behind the scenes and reveal how funding rounds are put together, or why they’ve failed to materialise. She/he in this role will largely focus on long-format stories. 
  • A journalist to track special situations funds, distressed debt and private credit (from the PE angle) across Asia.