Singapore Firm Launches India-focussed Real Estate Ipo
Pearlie asks:
Singapore-based Ascendus India Trust has scored a major first by launching the first ever initial public offering (IPO) which raised funds on the Singapore Stock Exchange with the aim of owning real estate in India.
The IPO size was 500 million Singapore dollars while the offer price was 1.18 Singapore dollar, officials of JPMorgan, the sole financial advisor and joint bookrunner for the mega issue, said today.
In a presentation made to the media, Kaustubh Kulkarni, Executive Director, Real Estate, JPMorgan said Ascendus India Trust (AIT) was set up in Singapore “with the objective of owning income-producing real estate used primarily as business space in India”.
AIT’s initial portfolio comprises four world class business parks in three IT centres in India. It plans to grow organically and also through acquisitions.
The investors were indicated that they could expect an yield of 4.75 per cent in FY08 and 5.81 per cent in FY09 on their investment in AIT shares. Incidentally, the regulations there allow a company to indicate possible returns on investment.
Meanwhile, in a research study on real estate scenario in India, JPMorgan has said the industry is in the foothills of a sustained growth period. It expects the industry to grow from $50 billion in FY07 to $90 billion by FY11.
Referring to rising property prices, it said the prices seem to be at risk given concerns about rate hikes and potential oversupply. The study said the correction in certain micro markets cannot be ruled out but “we are still not in a bubble zone and that a bust is unlikely.
For more information on Real Estate Agents, MLS visit Propertiesmls.com
Source: IndiaRealEstateblog
Singapore-based Ascendus India Trust has scored a major first by launching the first ever initial public offering (IPO) which raised funds on the Singapore Stock Exchange with the aim of owning real estate in India.
The IPO size was 500 million Singapore dollars while the offer price was 1.18 Singapore dollar, officials of JPMorgan, the sole financial advisor and joint bookrunner for the mega issue, said today.
In a presentation made to the media, Kaustubh Kulkarni, Executive Director, Real Estate, JPMorgan said Ascendus India Trust (AIT) was set up in Singapore “with the objective of owning income-producing real estate used primarily as business space in India”.
AIT’s initial portfolio comprises four world class business parks in three IT centres in India. It plans to grow organically and also through acquisitions.
The investors were indicated that they could expect an yield of 4.75 per cent in FY08 and 5.81 per cent in FY09 on their investment in AIT shares. Incidentally, the regulations there allow a company to indicate possible returns on investment.
Meanwhile, in a research study on real estate scenario in India, JPMorgan has said the industry is in the foothills of a sustained growth period. It expects the industry to grow from $50 billion in FY07 to $90 billion by FY11.
Referring to rising property prices, it said the prices seem to be at risk given concerns about rate hikes and potential oversupply. The study said the correction in certain micro markets cannot be ruled out but “we are still not in a bubble zone and that a bust is unlikely.
For more information on Real Estate Agents, MLS visit Propertiesmls.com
Source: IndiaRealEstateblog
Related questions:
- Goldman Sachs Likely to Invest in Indian Real Estate Major Johna asks: Sources confirm, leading American investment banker, Goldman Sachs is likely to ink a deal with real estate major...
- India’s Reliance Power to Spin Off 10 Pct in Nation’s Biggest Ipo Faith asks: MUMBAI (AFP) — India’s Reliance Power Ltd announced on Wednesday it will spin off a 10.1 percent stake...
- Godrej Properties to File for Ipo in Few Days - TV Zofia asks: MUMBAI (Reuters) - Godrej Industries Ltd chairman Adi Godrej said on Tuesday the group’s real estate unit, Godrej...
- Yuri Rutman Addresses Structured Finance in Film for Angel Investors,hedge Funds,real Estate Developers,tax Attorneys,& Private Equity Groups Gertrud asks: A quiet trend has been emerging as billionaires and other high net worth Angel Investors and Family Offices...
- Indian Billionaire Adani Adds $4 Billion to Fortune With Ipo Carley asks: Adani’s Mundra Port & Special Economic Zone Ltd. more than doubled on its first trading day in Mumbai,...
