KepCorp sells 4% stake in DC Reit for $75m

Keppel Corporation on Thursday evening said its wholly-owned subsidiary, DC Reit Holdings, has signed a sale and purchase agreement to sell about 55.1 million units in Keppel DC Reit, representing about a 4.08 per cent stake, for $74.96 million.

The units were sold for at least $1.36 per unit or any such higher price that UBS as the placement agent was able to procure, taking into account the last transacted price per unit of $1.40, and the volume-weighted average price per unit of $1.3986 for the full market day on Thursday.

Completion of the sale is expected to take place on Sept 5.

Upon completion, Keppel's indirect interest in Keppel DC Reit will decrease from about 29.27 per cent to about 25.2 per cent.

Assuming the price of $1.36 per unit, the group expects to recognise a gain of about $17 million from the sale, it said.

  • $17m

    Amount Keppel expects to gain from the sale of units in Keppel DC Reit, assuming the price of $1.36 per unit.

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A version of this article appeared in the print edition of The Straits Times on September 01, 2018, with the headline KepCorp sells 4% stake in DC Reit for $75m. Subscribe