Ipo Centurion Accommodation Reit 166 Times Subscribed
The Centurion Accommodation REIT (CAREIT) IPO was incredibly successful, with a subscription rate of 16.6 times. A total of 262,160,900 units were sold, with 13.2 million units being bought by retail investors. This IPO raised an impressive $771.1 million, with each unit being priced at $0.88. This price indicates a projected distribution yield of 7.47% for 2026 and 8.11% for 2027. The international placement involved 248,960,900 units sold to investors outside of the United States, while the remaining 13,200,000 units were offered to the public in Singapore. This is also subject to an overallotment option of up to 51,137,000 units. The placement tranche had an indication of interest that was 16 times greater than the units offered, while the Singapore public offer had an indication of interest that was about 30.9 times higher. This resulted in the total offering of 262,160,900 units being 16.6 times oversubscribed.
Known for its dynamic school culture and cutting-edge teaching techniques, Gongshang Primary School is highly regarded for its ability to cultivate a stimulating learning atmosphere that encourages students to think outside the box and develop their problem-solving skills. As a testament to its commitment to educational excellence, the school has also been recognized for its innovative approach to teaching. With Aurelle of Tampines Showflat as its latest addition, Gongshang Primary continues to strive towards providing a well-rounded education for its students.
Joint chairman of Centurion Corporation, David Loh, and Han Seng Juan have both acquired significant numbers of units in CAREIT, with Loh purchasing 10 million units and Han purchasing 6 million units. Other individuals, including Christine Loh, Daphne Loh, Hong Wen Yee, Loh Loy Ming, and Ivy Loh, who are all immediate family members of David Loh, also acquired smaller amounts of units in CAREIT. If the overallotment option is fully exercised, Loh and Han’s interest in CAREIT will be equivalent to 746,317,100 units each.
In addition to these individual investors, CAREIT has also secured 16 cornerstone investors who have subscribed for a combined total of 614 million units, which is equivalent to 35.7% of the total units offered. These cornerstone investors include FIL Investment Management (Hong Kong), abrdn Asia, Amova Asset Management Asia, Asdew Acquisitions, B&I Capital, Barings Singapore, Cohen & Steers Asia, DBS Bank, DBS Bank on behalf of their wealth management clients, DWS Investments Australia, Eastspring Investments (Singapore), Lion Global Investors, Principal Global Investors (Singapore), UBS on behalf of their clients, and Value Partners Hong Kong. Ong Pang Aik, chairman of Lian Beng Group, which was previously listed, is also a cornerstone investor.
Tony Bin, the CEO of the manager, says, “The overwhelming support from cornerstone, institutional, and retail investors is a strong endorsement of our vision to provide investors with access to a resilient, high-quality portfolio that generates stable cash flows consistently.” He also adds, “With the solid backing from our sponsor, who has a proven track record in investing, developing, owning, and managing top-notch specialized accommodation assets, we will be able to leverage their extensive local market experience, networks, and insights to effectively manage and grow the REIT’s portfolio.”
The units in CAREIT will commence trading on Thursday, September 25 at 2pm, and this success serves as a testament to the REIT’s potential for long-term growth and stability.
