Soilbuild REIT raises $67m in private placement of new units

Visual from the company website

SB REIT Management Pte Ltd, the manager of Soilbuild Business Space REIT Thursday said it had raised $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 said in a regulatory filing. 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.

SB REIT will use 98.2 per cent of the proceeds to fund its acquisition of the property located at 72 Loyang Way, Singapore, while the remaining 1.8 per cent will be used to pay the estimated fees and expenses, including professional fees and expenses, to be incurred it in connection with the just concluded private placement.

This property is a fully integrated facility comprising two blocks of 3-storey and 4-storey ancillary offices, two high ceiling single-storey production facilities, a blasting and spray painting chamber, a 200-worker dormitory and a jetty with 142 metres of sea frontage which serves as a fully-integrated offshore supply base approved by the Maritime and Port Authority, the company’s regulatory filing said.

“It is suitable for a wide range of end users in the marine and offshore, oil & gas industry as well as other heavy industrialists who require heavy floor loading and waterfront jetty for loading and unloading of oversize and overweight cargo. The acquisition is in line with the manager’s aim to invest in income-producing real estate and real estate-related assets used for business space purposes in Singapore, which will provide unit holders with stable and growing returns,” its filing added.

Upon completion of the acquisition, Soilbuild REIT’s portfolio size is also expected to increase 9 per cent to S$1.2 billion.

Soilbuild Business Space REIT is a Singapore-focused real estate investment trust with a portfolio of business parks and industrial properties used by industries and its portfolio had a net lettable area of 3,334,324 square feet and an occupancy rate of 100 per cent as at 31 March 2015, the company said.

Also Read:

Soilbuild REIT buys IMI’s SG property for S$22m

SGREIT to acquire Myer Centre Adelaide in AUS for $221m

A-REIT acquires The Kendall in Singapore for S$112m

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.