NTT DC Reit’s Singapore public offer 9.8 times oversubscribed

[SINGAPORE] The manager of NTT DC Reit (real estate investment trust) said the public tranche of its Singapore initial public offer (IPO) was about 9.8 times oversubscribed.

Based on the 30 million units available to the public for subscription, there were 14,166 valid applications for an aggregate of 294.8 million units, the manager said in a bourse filing on Friday (Jul 11).

It received application monies totalling around S$376.2 million.

Overall, based on the 599.9 million units available for subscription under the offering, including 569.9 million units offered to international investors, it was around 4.6 times oversubscribed.

The international placement was US$1 per unit, while the Singapore public offer was at S$1.276 per unit.

Merrill Lynch (Singapore), which is a stabilising manager on behalf of the joint bookrunners of the IPO, has over-allotted an extra 51.5 million units.

NTT DC Reit is aiming to raise gross proceeds of US$773 million from the Singapore IPO. The listing is the biggest of a Singapore Reit in more than a decade.

Concurrent with but separate from the offering, a group of cornerstone investors will subscribe to over 172 million units in total, representing 16.8 per cent of all units.

These include GIC, which is subscribing to more than 100 million units that make up 9.8 per cent of the total units in issue after the offering. Immediately after the listing, GIC will be a substantial unit holder – becoming the second-largest investor in NTT DC Reit after its sponsor.

The Singapore public offer closed at 12pm on Jul 10. The units are scheduled to start trading at 2pm on Jul 14.