Keppel Pacific Oak US REIT private placement more than two times subscribed

U.S. one-dollar and five-dollar currency notes; taken September 2018.U.S. one-dollar and five-dollar currency notes; taken September 2018.

Keppel Pacific Oak US REIT’s private placement to raise around US$65 million was more than two times subscribed, with strong demand from new and existing unitholders, including institutional and accredited investors, the REIT said late Wednesday.

Earlier Wednesday, KORE said it launched the placement to fund two proposed acquisitions: Bridge Crossing in Nashville, Tennessee, and 105 Edgeview in Denver, Colorado — for a total of US$105.1 million from two unrelated seller.

The offering priced at US$0.733 a unit, toward the upper end of the pricing range of US$0.72 to US$0.743, KORE said in a filing to SGX.

The issue price is a discount of 7.9 percent to the volume weighted average price of US$0.7959 of trading on 27 July, KORE said.

A total of around 88.68 million new units will be issued, and they are expected to begin trading on 6 August, the REIT said.

KORE requested the trading halt on its units be lifted.