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Singapore’s Mapletree in $513m Fundraising to Buy Asia Assets

Temasek subsidiary’s deal comes at a time of booming demand for warehouses and logistics infrastructure in China and SE Asia as the pandemic spurs e-commerce


Mapletree
Mapletree Logistics is backed by Mapletree Investments Pte, a subsidiary of state investor Temasek Holdings. Company photo.

 

Mapletree Logistics Trust said on Tuesday it was launching an equity fundraising of S$700 million ($513 million) through a private placement and preferential issue of units to finance acquisitions of properties in Vietnam, China and Japan.

The proposed deal comes at a time of booming demand for warehouses and logistics infrastructure as the coronavirus pandemic spurs e-commerce.

Mapletree Logistics is backed by Mapletree Investments Pte, a subsidiary of state investor Temasek Holdings.

The company said the capital will help fund the purchase of 17 logistics assets for S$1.47 billion in China, Vietnam and Japan. Thirteen of these properties are located in China.

The purchases are also being funded partly by debt.

Mapletree Logistics launched a S$400 million private placement of 209.3 million to 215.1 million units to investors at an issue price of between S$1.860 and S$1.911 apiece.

It also proposed to raise S$300 million via a preferential offering of up to 163.4 million new units to existing unitholders at between S$1.82 and S$1.87 apiece.

Units of Mapletree Logistics closed at S$1.95 on Monday. Trading in the units were halted on Tuesday.

DBS, HSBC and Oversea-Chinese Banking Corp are the joint global coordinators and bookrunners for the equity fundraising.

 

  • Reuters with additional editing by Kevin Hamlin

 


 

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Kevin Hamlin

Kevin Hamlin is a financial journalist with more than 40 years of experience covering Asia. Before joining Asia Financial, Kevin worked for Bloomberg News, spending 12 years as Senior China Economy Reporter in Beijing. Prior to that, he was Asia Bureau Chief of Institutional Investor for ten years.

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