Keppel DC REIT lifts private placement to $625m on strong demand

About 98.5% of the proceeds will be used to partially finance an acquisition.

Keppel DC REIT upsized its private placement to $625m from approximately $600m after strong institutional demand left the initial deal about 3.5 times covered.

KEPPEL DC REIT Management, the REIT’s manager, said in a bourse filing that 98.5%, or $615.8m, of the proceeds will be used to partially finance an acquisition.

The remaining $9.2m will cover fees and expenses related to the placement, it added.

If the acquisition does not proceed, the REIT may use the proceeds for other purposes, including repayment of existing debt, future acquisitions, capital expenditure, and working capital.

Following the upsizing, the placement remained approximately 3.4 times covered. Demand came from new and existing unitholders globally, comprising institutional and accredited investors.

A majority of the new units were allocated to long-only investors and real estate specialists.

The REIT will issue 297.62 million new units at $2.10 apiece. The issue price represents a 4.4% discount to the $2.1974 volume-weighted average price of its units on 31 August, up to the signing of the placement agreement on 1 September.

The new units represent approximately 12.2% of the REIT's unit base as of 30 April.

Trading of the new units on the Singapore Exchange is expected to begin on 10 September, subject to the relevant listing approval.

Follow the link for more news on

Keppel DC REIT

Reaching the people who run Asia's businesses is harder than it used to be.

Inboxes are crowded. Attention is short. The executives you most want to reach — the founders, CFOs, and operators who actually move budgets — are the hardest to find through the usual channels. If you're building a company, a category, or a reputation, you already know this.

We've spent twenty years building the room they read. Singapore Business Review is where senior decision makers in Singapore and across Southeast Asia come for business coverage they can't get elsewhere — in print, online, and in person at the summits and roundtables we host across seven markets.

If you have something these readers should know about — a point of view worth publishing, a product worth their attention, an event worth their time — we'd like to hear what you're trying to do.

Book a meeting

| Or download the media kit (PDF)

240,000 senior readers quarterly in print Top 1,700 Singapore companies reached

7 markets across Southeast Asia