Soilbuild Business Space REIT (Soilbuild REIT) has established an S$500 million ($375 million) Multicurrency Debt Issuance Programme, with DBS functioning as the sole arranger. Under this programme, marketable securities will be issued in tranches denominated in Singapore dollars or any other currency agreed between the Issuer and the relevant dealer(s).
The development comes within days of SB REIT Management Pte Ltd, the manager of Soilbuild Business Space REIT raising $67 million (S$90 million) by selling 111.8 million new units through a private placement. The units were placed at 80.5 cents apiece, the top end of an indicative range of 79.5 cents to 80.5 cents, the REIT manager had said in a regulatory filing earlier this week. This represents a discount of 2.8 per cent to the volume weighted average price of trades in the units of this REIT, done on Singapore Exchange Securities Trading Limited for the full market day on 22 April 2015.
Soilbuild REIT is a Singapore-focused real estate investment trust (REIT) with a portfolio of business parks and industrial properties that are used by industries engaged in manufacturing, engineering, logistic, warehousing, electronics, marine, oil & gas, research and development and value-added knowledge-based activities.
Property assets in its portfolio include Solaris in One-North, Eightrium @ Changi Business Park, Tuas Connection and West Park BizCentral, with a net lettable area of 3,334,324 square feet that currently has full occupancy.
Issued in various amounts and tenors and bearing interest at fixed, floating, variable or hybrid rates which can be negotiated between the dealer(s) and issuer, in the form of perpetual securities (i.e. perpetual bonds) that have no fixed maturities. Net proceeds from issuing Securities can be utilised in refinancing the existing borrowings of Soilbuild REIT and subsidiaries or financing/refinancing acquisitions, investments and projects involving Soilbuild REIT assets.
Soilbuild has applied to the Singapore Exchange Securities Trading Limited (SGX-ST) for permission to deal in and quote securities which are listed on the SGX-ST, with approval currently pending for this IPO.