Massive Expansion for Ascendas REIT

News about Ascendas REIT

Hot on the presentation of its Q3 results, Ascendas REIT is announcing a massive acquisition with the purchase of S$1.66 billion worth of business parks from its sponsor CapitaLand. Made of 30 business parks (28 in the USA and 2 in Singapore), the portfolio comes with a NPI yield of 6.5% and a WALE of 4.9 years.

To fund the operation, a large right issue has been initiated to raise about S$1.31 billion. Every unitholder will be able to subscribe 16 new shares for every 100 held at a price of S$2.63 per new unit.

Ascendas REIT
Price2.940 SGD
NAV2.050 SGD
Yield (4 quarters)5.49%
Gearing36.2%