Keppel REIT Issues 5-Year Convertible Bond

News about Keppel REIT

Keppel REIT is making a S$200 million bonds offering. The security is a senior, unsecured convertible bond with a 5 year maturity and a conversion price of S$1.4625, about 12% above the current trading price. Priced at 100%, the interest rate is set at 1.90%.

Noteholders have a put option after three years to require early redemption of the bonds. After three years, Keppel Reit also has a call option to force early redemption of the bonds, subject to the common units trading at least 30 per cent over the prevailing conversion price.

Keppel REIT
Price1.250 SGD
NAV1.360 SGD
Yield (4 quarters)4.40%
Gearing38.4%