Canada's Manulife seeks to raise $568 mln in Singapore IPO of U.S. assets

SINGAPORE (REUTERS) - Canada's Manulife Financial Corp seeks to raise S$568 million through a Singapore listing of a real estate investment trust (REIT), backed by three U.S. office properties, showed a prospectus filed with the city-state's central bank.

Manulife aims to sell 694.4 million units, including cornerstone units, at S$0.82 each, making the initial public offering Singapore's biggest in a year.

Cornerstone investors include Malaysia's Fortress Capital Asset Management Sdn Bhd, Japan's Nikko Asset Management Asia Ltd, and the Oman Investment Fund.

Manulife forecast a distribution yield of 6.3 per cent for 2016, it said in the prospectus. It also said DBS and J.P. Morgan will act as joint bookrunners and underwriters.

Singapore is the largest REIT hub in Asia-Pacific excluding Japan, with 28 REITs, 11 business trusts and six stapled trusts listed.

The Manulife US REIT IPO will be Singapore's biggest since last year when Accordia Golf Trust raised S$758.6 million.

The listing may help end a drought for IPOs in Singapore, which has been one of Asia's weakest IPO markets this year, analysts said.