I nibbled Mapletree Logistics Trust to initiate a new position in Sep 2020.
On 19 Oct 2020, MLT announced the proposed acquisition of a 50% stake in 15 China logistics properties, 100% stake in 7 China logistics properties, Mapletree Logistics Hub, Tanjong Pelepas, Malaysia and Mapletree Logistics Hub Bac Ninh, Vietnam Phase 3, all valued at SGD1.067B. The acquisition will be funded by a combination of debt and equity.
The logistics properties to be acquired are built to Grade A specifications, with strong floor load, high ceilings, large floor plates, and ramp access, with majority having cross-docking features that cater to fast goods movement. Situated in Key Asian logistics hubs in China, Malaysia and Vietnam, well-connected to transport infrastructure of highways, railways, air and sea ports, and near large population catchments for labour, these properties are riding on the waves of booming e-commerce.
I had decided to participate in this equity fund raising of preferential offering at $1.99 until the share price of MLT plunged to the lows of $1.94 on 2 Nov when it was more cost effective to buy from market instead of pressing at the ATM. The subsequent recovery of MLT's share price back to $2ish levels meant that I should just subscribe to the preferential offering shares.
So there it is, another small step towards increasing my investment in Asian logistics. Hopefully more investors decide to skip this equity fund raising and let me have all the excess shares.
2 comments:
hi qiongster, i also applied for additional shares at the point of time when the share price was at 2+. so it was abit of a bummer that it came down abit the past few days (recovered to 1.98 as of today). anyways, my question is when will the application for the excess shares be finalized and when will it start trading? I thought I saw a 11th november date but have yet to see any the shares reflected in my cdp as of now.
hi fellow_qiongster,
The results of MLT preferential offering was announced on 12 Nov. The PO shares (entitled and excess if any) will be credited and start trading on Wed, 18 Nov 2020. Refunds for unsuccessful excess applications will be credited to your bank within 3 working days from 18 Nov.
With love and peace,
Qiongster
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