The offer was 2.5 times subscribed and about 75% of the offer was placed to institutional investors. The gearing of ESR-REIT will remain unchanged pre-and-post transaction.
“This offer is a key part of our capital management framework to tap into alternative pools of capital when market conditions are conducive. By seizing the window of opportunity presented by stabilising interest rates, we have reinforced our balance sheet, positioning ESR-REIT for sustainable, long-term growth,” says Adrian Chui, CEO and executive director of the manager of ESR-REIT.
Units in ESR-REIT closed 0.5 cents lower or 2% down at 24.5 cents on Feb 21.
