Mapletree Industrial Trust to raise $350m through private placement

It will be used to fund the acquisition of data centres in North America.

Mapletree Industrial Trust plans to raise $350m through a proposed private placement to partially fund the acquisition and investment of data centres in North America, according to an announcement.

It is issuing a total of 158.3 million new units in MIT to eligible institutional, accredited and other investors at an issue price of between $2.211 and $2.265 per unit, and may issue an additional 22.615 million units to raise additional gross proceeds of no less than approximately $50m.

Approximately $344.4m will be used to acquire 10 powered shell data centres and co-invest in three turnkey data centres in North America, the manager said.

The remaining $5.6m will be utilised to pay for the estimated fees and expenses incurred or to be incurred by MIT in connection with the private placement.

In the event of the private placement’s proceeds surpassing $350m, MIT said that it will use the excess funds for further funding of the MIT total acquisition cost, debt repayment, future acquisitions, or for general corporate and working capital purposes.

MIT will finance the MIT total acquisition cost through a combination of equity and debt financing, the release added.