SINGAPORE — The initial public offering of OUE Commercial Real Estate Investment Trust has drawn strong support from investors, with the public tranche 4.76 times subscribed, the trust manager said on Friday after balloting was concluded.

OUE C-REIT offered 208 million units at 80 cents each to raise gross proceeds of S$166.4 million, with the public tranche comprising 56.25 million shares and the placement tranche accounting for the balance of 151.75 million shares. The placement tranche was fully taken up by institutional investors.

OUE C-REIT’s initial asset portfolio comprises OUE Bayfront and Lippo Plaza, which are commercial properties strategically located in Singapore and Shanghai, respectively.

OUE C-REIT units are expected to commence trading on the Singapore Exchange on Jan 27.

See OUE Commercial REIT IPO Analysis here.

OUE Commercial REIT IPO Prospectus.

Official Announcement for OUE Commercial REIT Balloting Result here.

INTRODUCTION TO OUE Commercial REIT

OUE C-REIT is a Singapore real estate investment trust (“REIT”) established with the principal investment strategy of investing, directly or indirectly, in a portfolio of income-producing real estate used primarily for commercial purposes (including real estate used primarily for office and/or retail purposes) in financial and business hubs within and outside of Singapore, as well as real estate-related assets.

• IPO Price = S$0.80
• Projected DPU Yield = 6.8% (2014), 6.89% (2015)
• Number of Units  = 866,000,000  (Page 65 of OUE C-REIT IPO Prospectus)
• Subscription by Cornerstone investors = 225,000,000 (Page 58 of OUE C-REIT IPO Prospectus)
• Net Asset = S$902,984,000 (Page 65 of OUE C-REIT IPO Prospectus)
• NAV = S$1.0427 –> IPO price is 23.3% Discount to the NAV.
• Total Debt = S$681,416,000 (Page 65 of Balance Sheet of of OUE C-REIT IPO Prospectus)
• Total Asset = S$1,652,403,000 (Page 65 of Balance Sheet of of OUE C-REIT IPO Prospectus)
• Gearing Ratio = 41.2%

Check out how to analyse of OUE C-REIT here, understand whether OUE C-REIT is worth for IPO subscription and what are the risks involved.

Also see comparison Table of other Singapore REITs.

OUE C-REIT Structure

Portfolio Summary

Tenant Mix & Lease Expiry

Distribution Yield Forecast

See detail OUE C-REIT IPO Prospectus here.