CapitaLand Retail China Trust

CapitaLand Retail China Trust (CRCT) has agreed to acquire a shopping mall in Chengdu, China, for about 1.53 billion yuan (S$309 million).

The mall, currently known as Galleria, is located in the Xinnan Tiandi retail precinct of Gaoxin District in the south of Chengdu, one of the most established shopping belts in the city.

The acquisition is based on an agreed property value of 1.5 billion yuan.

When the transaction is completed, the acquisition will enlarge CRCT's portfolio by about 14 per cent to 12.55 billion yuan.

The mall has a current net property income yield of about 5.4 per cent and the acquisition is expected to be distribution-per-unit accretive for CRCT.

This will be CRCT's 11th mall and its first in Chengdu, the provincial capital of Sichuan.

Soilbuild Reit

Soilbuild Business Space Reit plans to issue up to 94.4 million new units at 63 cents apiece through a non-renounceable preferential offering to raise gross proceeds of up to $59.4 million.

The issue price represents a discount of 8.2 per cent to the transacted volume-weighted average price of 68.65 cents on Thursday.

The preferential offering is made on the basis of one new unit for every 10 existing units in Soilbuild Reit.

Mr Lim Chap Huat, who owns 26.2 per cent of Soilbuild Reit, has committed to take up his pro-rata entitlement and to undertake to apply for excess new units not taken up as long as his total stake, including those held by his immediate family members, does not exceed 29.3 per cent of Soilbuild Reit at the end of the exercise.

KS Energy

A unit of KS Drilling, an 80.1 per cent-owned subsidiary of KS Energy, has been awarded a drilling contract for work in Indonesia which is expected to commence in January and last for some 14 months.

The expected value of the new contract is about US$17.4 million (S$23.4 million).

The new contract is not expected to have any material effect on the earnings per share and net tangible assets per share of KS Energy for this year.