Keppel DC to Purchase Datacentres, Raise S$473.8 Million

News about Keppel DC REIT

Keppel DC REIT is planning a major expansion as it plans to raise S$473.8 millions of equity to fund two acquisitions in Singapore:

  • A 99% stake in Keppel DC Singapore 4 (S$384.9 million)
  • 1-Net North Data Centre (S$200.2)

The proposed acquisitions are expected to be highly accretive to Keppel DC REIT's Distribution per Unit (DPU). When completed, the REIT's assets under management will grow by 30.7% to $2.58 billion, comprising 17 data centres in key data centre hubs globally, spanning an aggregate lettable area of approximately 1,410,497 sq ft.

A combination of debt and S$473.8 million in private placement and preferential offering will be used. Aggregate leverage ratio is expected to decrease from 31.9% to 30.3%.

Keppel DC REIT
Price1.990 SGD
NAV1.060 SGD
Yield (4 quarters)3.79%
Gearing31.9%