I Reit Managers chief executive officer and executive director Chan Wai Leo (fourth from left) and I Reit Managers chairman and executive director Simon Lee, with other stakeholders at AME Reit’s initial public offering prospectus launch on Aug 17, 2022.

I Reit Managers, the manager of AME Real Estate Investment Trust (AME Reit), is offering up to 254.8 million units in AME Reit shares for sale to investors, in an initial public offer (IPO) that values the Reit at close to RM600 million (S$185.4 million).

The listing – the second industrial Reit to be listed on Bursa Malaysia’s main market after Axis Reit in 2005 – will see most of its investment units offered to existing shareholders of AME Elite Consortium – the parent company of AME Reit that’s also listed on Malaysia’s stock exchange.

The IPO, scheduled for Sep 20, entails an offering of 254.8 million units, representing 49 per cent of total 520 million units in AME Reit.

This comprises a retail offering of up to 174.8 million units at RM1.15 per unit. This includes 156.6 million units offered to the shareholders of AME Elite on the basis of 1 unit for every 5 ordinary shares held in AME Elite as of Aug 15 this year; 10.4 million units made available to the Malaysian public; and 7.8 million units to eligible directors and employees of AME Elite and its subsidiaries.

The institutional offering – consisting of at least 79.99 million units to be made available to Malaysian institutional investors and selected investors – has been approved by the Ministry of International Trade and Industry.

Based on the retail price of RM1.15 per unit, the market capitalisation of AME Reit upon listing will be RM598 million. The applications for the retail offering is already open and will close on Aug 24.

Source: The Business Times