Frasers Logistics raises $258.1m through private placement

It will be used to fund the acquisition of 12 logistic facilities in Australia and Germany.

Real-estate investment trust Frasers Logistics and Industrial Trust (FLT) has raised $258.1m through a private placement of 220 million units priced at $1.173 per unit, an announcement revealed.

The proceeds will be used to fund FLT’s proposed acquisition of 12 logistics properties in Germany and Australia. The proposed acquisitions will reportedly increase their portfolio value to approximately $3.3b at completion.

Robrert Wallace, CEO, said “The proceeds raised will fund our proposed acquisition of interests in 12 prime logistics properties in Germany and Australia. The proposed acquisition will further deepen FLT’s presence in the two attractive logistics markets of Germany and Australia.”

FLT noted that the private placement was approximately 3.2 times subscribed with strong demand from new and existing investors. Accordingly, the issue price was at the top end of the price range and was at a 1.2% discount to the Adjusted VWAP.