Office Reit eyes mainboard listing

IREIT Global, a local real estate investment trust, plans to raise gross proceeds of $372.4 million through an initial public offering (IPO) on the mainboard and the issuance of units to cornerstone investors.

In a preliminary prospectus lodged with the Monetary Authority of Singapore, the trust's manager, IREIT Global Group Pte Ltd, said it plans to offer 169,254,000 units at 88 cents apiece. This offering also includes an international placement of units to investors outside the US.

At the same time, Wealthy Fountain Holdings Inc and Tong Jinquan have entered into a separate subscription agreement with the trust's manager to subscribe for a total of 253,882,000 trust units at the offering price. Mr Tong owns Shanghai Summit Pte Ltd, which in turn owns 65 per cent of IREIT Global Group Pte Ltd.