Manulife US REIT priced its private placement at US$0.824 per new unit, around the midpoint of its US$0.811 to US$0.86 pricing range, after strong demand, the REIT said Tuesday.
“The private placement was well over-subscribed with strong participation from existing unitholders and new institutional investors. The demand was taken up by long-only institutional investors, private wealth clients and multi-strategy funds,” Manulife US REIT said in a filing to SGX.
A total of 114.08 million new units will be issued to raise gross proceeds of around US$94 million, the REIT said.
The issue price is a 5.8 percent discount to the volume weighted average price of US$0.8746 a unit for trades on Monday, Manulife US REIT said.
Around US$89 million of the proceeds are earmarked to partially fund the acquisition of the Centrepointe property in Fairfax, Virginia, Manulife US REIT said in a separate filing Monday.
Trade in the new units is expected to begin on 9 May, the filing Tuesday said.
DBS, CLSA Singapore and OCBC were the joint lead mangers and underwriters of the private placement, the filing said.