Property developer Soilbuild is seeking to raise up to $642.8 million by listing its industrial properties in a real estate investment trust on the Singapore Exchange.
Soilbuild Business Space Reit will offer 586.5 million units for sale as part of the Reit's initial public offering, according to a preliminary prospectus lodged with the Monetary Authority of Singapore on Tuesday.
Soilbuild has set a price range of between 77 cents and 80 cents for each unit. Projected distribution yields are as high as 7.8 per cent for next year.
Some 499 million of the units on offer will be placed to institutional and other investors, while another 87.5 million units will be offered to the public.
Separately, another 216.9 million units have been subscribed for by Mr Lim Chap Huat, the founder and owner of Soilbuild Group, which is the Reit's sponsor.
The Reit will comprise two business park developments - Eightrium @ Changi Business Park and Solaris - as well as five industrial properties. These are Tuas Connection, West Park BizCentral, NK Ingredients, COS Printers and Beng Kuang Marine.
DBS and OCBC Bank are the joint financial advisers for the Reit, and are joined by Citi as joint global coordinators, issue managers, bookrunners and underwriters.