Axis-REIT Raises RM449.73 Mln Via Largest Private Placement To Date

KUALA LUMPUR, Oct 30 (Bernama) -- Axis Real Estate Investment Trust (Axis-REIT) has raised RM449.73 million through its largest private placement.

The proceeds will support its strategy to pursue high-quality, yield-accretive acquisitions, and enhance its existing portfolio to generate sustainable returns and value for unitholders.

Axis-REIT Managers Bhd chief executive officer and executive director Leong Kit May said the private placement, the largest thus far, underscores the strong market confidence in the company's growth initiatives. 

"It also aligns with our commitment to strengthen the balance sheet by reducing financing ratio and create more headroom for future portfolio growth," she said in a statement today.

The issue price of the private placement was fixed at RM1.71 per unit after a book-building exercise and represents a 5.1 per cent discount to the volume-weighted average market price of RM1.802 per unit.

The placement was jointly managed by Maybank Investment Bank Bhd and CIMB Investment Bank Bhd, serving as placement agents for Axis-REIT.

Given the upcoming enlarged unit capital from this placement, Axis-REIT has, on Oct 29, 2024, declared an advance distribution of 1.10 sen per unit for income earned up to Nov 12, 2024, payable on Nov 29, 2024.

-- BERNAMA