Keppel Infrastructure Trust to raise $450m via private placement and preferential shares

It will pay for its $737.04m acquisition of Ixom Holdings.

Keppel Infrastructure Trust (KIT) plans to raise $450m via private placement and preferential offering units in order to fund the facility paying for its $737.04m (A$770m) acquisition of Australian chemical firm Ixom Holdings, it said in an announcement.

About $440.4m will go to the partial repayment of the facility, whilst $9.7m will go to fees and expenses related to the equity fundraising.

KIT intends to declare advanced distribution from 1 January 2019 to the date when the placement units are issued. The quantum of distribution under the stub distribution will be 0.8577 cents per unit.

The offer of placement units will be made to eligible institutional, accredited and other investors

The prices of the placement and preferential offering issue are expected to be live on 15 March 2019.

Keppel Infrastructure Holdings (KIHPL) will subscribe for additional placement units in order to maintain its unitholding of 18.2%.

Credit Suisse Singapore, DBS, HSBC Singapore, and UOB have been appointed as the joint lead managers, bookrunners, and underwriters.