Persistent lockdowns and weak market sentiment have prompted a delay in the flotation of IGB Commercial REIT units, the announcement of which was made last Friday evening. At the same time, the selling shareholders and the manager have proposed to slash the institutional offering to at least 130 million units from 282 million units, thus lowering the minimum public unitholding spread from 25% to 20%. To demonstrate confidence in the REIT, he says IGB will still own a stake of over 56% in IGB Commercial REIT post-listing. As at June, IGB Commercial REIT’s average occupancy rate stood at 73.4% against 76.3% in 2020. To facilitate future capital-raising activities, IGB Commercial REIT has established a RM5 billion medium-term note programme.

Source: The Edge Markets July 15, 2021 06:00 UTC