Prologis' Mexican Reit raises 7b pesos in IPO

[SAO PAULO] Prologis Inc's Mexico real estate investment trust raised about seven billion pesos (S$680 million) in its initial public offering on Tuesday, marking the nation's first successful share sale of the year.

Prologis Property Mexico, as the Mexico City-based Reit is formally known, sold 258 million shares for 27 pesos apiece, according to a statement. The shares were to start trading yesterday, listed on the Mexico Stock Exchange. With manufacturing and logistics space for rent across the country, Prologis Property is positioning itself to benefit from rising demand after President Enrique Pena Nieto overhauled the constitution last year to lure investment.

To complete the offering, the Reit braved a market that hasn't had an IPO since the US Federal Reserve began reducing a record stimulus programme. The company also proceeded with a share sale amid waning interest in real estate trusts.