CICT launches $500m private placement to fund CapitaSpring acquisition

Units are priced between $2.105 and $2.142.

CapitaLand Integrated Commercial Trust (CICT) is raising at least $500m through a private placement of new units to institutional and accredited investors.

The funds will be used primarily to finance the acquisition of the remaining 55% stake in CapitaSpring's office and retail components.

New units will be issued at a price between $2.105 and $2.142 per unit. This represents a 4.1% to 5.7% discount to the last traded volume-weighted average price of $2.2334 on 4 August 2025.

The placement is fully underwritten by Citigroup, DBS, and J.P. Morgan. The final price will be determined through a book-building process.

The gross proceeds of approximately $500m from the private placement will be allocated as follows: S$466.5m, or 93.3%, will be used to finance the acquisition of the remaining 55% interest in the office and retail components of CapitaSpring; $26.3m, or 5.3%, will go towards debt repayment, refinancing, and capital expenditure; and $7.2m, or 1.4%, will be used to cover transaction-related expenses, including professional fees.

Any remaining funds will be used for general corporate purposes. If the acquisition does not proceed, proceeds may be redirected to other investments or debt repayment.

The acquisition supports CICT’s growth strategy, strengthens its portfolio with a premium Grade A asset, and is expected to be accretive to distributions per unit.

The new units will be issued under CICT’s existing general mandate approved at its April 2025 AGM. The placement will account for approximately 3.2% of total issued units and remains within the approved 20% limit for non pro-rata issuances.

The placement is available only to institutional, accredited, and other eligible investors. The units will not be offered in the U.S. or other restricted jurisdictions.

CICT will announce the final issue price and provide updates on the use of proceeds via SGXNet.