Mapletree Logistics launches $640m equity fund

The proceeds will fund the Mapletree Logistics Hub Tsing Yi acquisition.

Mapletree Logistics Trust (MLT) launched a $640m equity fund raising.

According to an announcement, a private placement worth $1.143 and $1.175 per unit will raise gross proceeds up to $361.5m.

Moreover, a non-renounceable preferential offering on the basis of one New Unit for every 10 existing units in MLT will be held as at a date and time to be separately announced to Eligible Unitholders at an issue price of between S$1.113 and S$1.145 per New Unit on a pro rata basis to raise the balance of the Gross Proceeds.

MLT appointed Citigroup Global Markets Singapore Pte. Ltd., DBS Bank Ltd. and The Hongkong and Shanghai Banking Corporation Limited as global coordinators and book runners.

About 75.1% or $480.6m of the proceeds will finance its recent acquisition of the Mapletree Logistics Hub Tsing Yi, located at 30 Tsing Yi Road, Hong Kong.

Meanwhile, 23% or $146.9m will go to the redemption of the $350m 5.4% perpetual securities, and 1.9% or $12.5m will go to the payment of professional and other fees related to the fund raising and the property acquisition.