Perennial China Retail Trust, which owns shopping mall assets in China, is set to raise S$776 million ($624 million) after it priced its Singapore IPO at the bottom of its indicative range sources said on Friday, in a deal that was partly hit by volatile markets.
The trust, managed by a firm controlled by former CapitaLand retail chief Pua Seck Guan, had to cut back its offer size and delay its launch as equity markets see-sawed amid a worsening eurozone debt crisis and fears of a global economic slowdown.
It originally planned to raise about S$1.1 billion from the IPO, but has now priced its offering at S$0.70 per unit, at the bottom of its indicative range of S$0.70-S$0.76, according to two sources with knowledge of the deal.
The trust plans to sell 1.1 billion units to investors.
Perennial China, which will offer a distribution yield of 5.3 percent for fiscal 2011.
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