SINGAPORE, Singapore is gearing up for its second-biggest listing of the year as it works to revitalise its stock market and narrow the gap with regional peers leading in initial public offerings (IPOs).
Centurion Accommodation REIT, spun off from worker and student housing operator Centurion Corp, plans to raise S$771.1 million (US$601 million or RM2.54 billion) through the sale of 876.2 million units priced at S$0.88 each, according to deal terms seen by Bloomberg News. Shares of Centurion Corp climbed as much as 7.4% on Thursday before easing later in the session.
The listing will give the REIT a market value of about S$1.5 billion, with nearly 70% of the offering already taken up by cornerstone investors including Fidelity International Ltd, Aberdeen Group plc, Amova Asset Management Co and Barings. The REIT is set to debut on the Singapore Exchange on Sept 25.
This comes after the US$773 million IPO of NTT DC REIT earlier this year — Singapore’s largest listing in eight years. However, that data centre REIT, backed by sovereign wealth fund GIC Pte Ltd, has since slipped about 4.5% since its July debut, underlining ongoing challenges in attracting sustained investor interest.
Centurion Accommodation REIT’s IPO is being managed by DBS Group Holdings Ltd, United Overseas Bank Ltd, UOB-Kay Hian Holdings Ltd, UBS Group AG, and Malayan Banking Bhd.
