Keppel Infrastructure Trust to raise $299.6m after private placement closes at 47.7 cents per unit

SINGAPORE - Keppel Infrastructure Trust (KIT) has closed its private placement at 47.7 cents per unit, at the top end of its proposed price range.

Following “strong demand” for the placement and a subscription rate of about 4.2 times, KIT’s manager said on Wednesday it would increase the number of placement units to 383,648,000, up from the proposed range of between 262,055,000 and 269,397,000 units.

The manager said it expects the placement units to be listed on the Singapore Exchange at 9am on April 27.

The placement will raise total gross proceeds of approximately $183 million.

Keppel Infrastructure Holdings, which undertook an irrevocable agreement with KIT’s manager, has subscribed for 69,859,000 placement units to maintain its percentage holding of about 18.2 per cent.

Apart from the private placement, 249,612,694 preferential offering units will be offered at a price of 46.7 cents per unit.

This brings the total number of new units to be issued to about 12.7 per cent of KIT’s existing units in issue as at Wednesday.

The preferential offering will be made to entitled shareholders on a non-renounceable basis, at a proportion of five preferential offering units for every 100 existing units as at 5pm on April 26. This will raise around $116.6 million in total gross proceeds.

KIT’s manager expects the preferential offering to open at 9am on May 2.

In total, the equity funding exercise will raise approximately $299.6 million. Around $293.1 million of this will be used for partial repayment of bridge facilities, while the remaining $6.5 million will go towards fees and expenses incurred from the exercise.

KIT ended trading on Wednesday one cent down at 50.5 cents.

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