AIMS AMP Industrial REIT

Thread Rating:
  • 3 Vote(s) - 3.33 Average
  • 1
  • 2
  • 3
  • 4
  • 5
#91
AIMS AMP Capital Industrial REIT's renounceable rights issue aims to raise S$100m

Will finance asset enhancements and acquisitions.

The Board of Directors of AIMS AMP Capital Industrial REIT Management Limited (the Manager) as manager of AIMS AMP Capital Industrial REIT has announced a 7 for 40 underwritten and renounceable rights issuance which will be open to all eligible unitholders of the Trust.

The Manager’s Chief Executive Officer, Koh Wee Lih said the Rights Issue aimed to raise gross proceeds of approximately S$100.0 million. The majority of the funds raised from the Rights Issue will be used to finance the Trust’s asset enhancement initiatives (including redevelopment projects), development projects and/or third party acquisitions in Singapore, and a portion will be used to pay down debt, working capital purposes, as well as cover the equity issuance costs.

“Since 2009, the Manager has demonstrated a strong track record of growth by successfully implementing disciplined investment strategies which include prudent acquisitions, strategic divestments and capital recycling of assets into better quality assets and the carrying out of asset enhancement initiatives.”

“The Manager continues to see a strong pipeline of potential asset enhancement initiatives, development projects and/or third party acquisitions for the Trust in Singapore. There is an estimated 801,308 sqft of untapped potential gross floor area (GFA) which represents 12.9 percent of the portfolio’s current GFA1. The funds we raise will enable us to tap these potentials and unlock the value of our existing assets and strengthen the portfolio’s long term growth potential,” Mr Koh said.

Following the Rights Issue, the Trust gearing is expected to fall to 31.92 percent, strengthening the balance sheet and providing the financial flexibility to invest in strategic development projects and potential acquisitions in Singapore.
Reply
#92
Many opportunity to buy on the dip. What a surprise to ask for money so fast.
Reply
#93
This is dividend warrior's top position, waiting for him to give comment on the rights issue
Reply
#94
7 Right for 40 Shares, seems not very heavy handed.

But why just funny ratio ?
Why not 1 for 5 ?
How many retail investors will own 40 lots ?
Most will end up getting odd lots again.

Hope that they spend the funds wisely,
as I can sense that most shareholders are already very unhappy with the frequency of fund raising thru Right.
( Not Again ? Big Grin )

BTW, I am not vested in this one.

If the price were to drop a lot after Ex-Right I may pick up some,
and hold it for say 1 to 2 years.
( And cross my finger that they will not ask for money again within the 2 years ! Big Grin )

BTW felixleong, are you vested ?
Reply
#95
I have already too much exposure in industrial reits, this one will just bid-oversubscribe-sold for me. Judging on the 7-40 ratio and the issue amount, believe that the it will receive "enough response" which make over-subscription play less attractive.
Reply
#96
(17-02-2014, 02:13 PM)Layman A Wrote: 7 Right for 40 Shares, seems not very heavy handed.

But why just funny ratio ?
Why not 1 for 5 ?
How many retail investors will own 40 lots ?
Most will end up getting odd lots again.

Hope that they spend the funds wisely,
as I can sense that most shareholders are already very unhappy with the frequency of fund raising thru Right.
( Not Again ? Big Grin )

BTW, I am not vested in this one.

If the price were to drop a lot after Ex-Right I may pick up some,
and hold it for say 1 to 2 years.
( And cross my finger that they will not ask for money again within the 2 years ! Big Grin )

BTW felixleong, are you vested ?

Nope currently not vested in any sort of reits

often I'm not comfortable with rights issues

I think aims raised $$ in 2010, now in 2014 they are doing it again... maybe they just wanna ask for $$ every 4 years?
Reply
#97
Will u guys be exercising the rights? I am thinking of just selling away the rights.
Reply
#98
I will be subscribing for the rights plus excess rights. That's if u believe the management that current properties have lots of untapped potential which can be unlocked further with AEI
http://wealthbuch.blogspot.com
-- Where I blog about matters on finances
Reply
#99
(17-02-2014, 07:02 PM)felixleong Wrote:
(17-02-2014, 02:13 PM)Layman A Wrote: 7 Right for 40 Shares, seems not very heavy handed.

But why just funny ratio ?
Why not 1 for 5 ?
How many retail investors will own 40 lots ?
Most will end up getting odd lots again.

Hope that they spend the funds wisely,
as I can sense that most shareholders are already very unhappy with the frequency of fund raising thru Right.
( Not Again ? Big Grin )

BTW, I am not vested in this one.

If the price were to drop a lot after Ex-Right I may pick up some,
and hold it for say 1 to 2 years.
( And cross my finger that they will not ask for money again within the 2 years ! Big Grin )

BTW felixleong, are you vested ?

Nope currently not vested in any sort of reits

often I'm not comfortable with rights issues

I think aims raised $$ in 2010, now in 2014 they are doing it again... maybe they just wanna ask for $$ every 4 years?
Agree. Be very wary of rights issue. i prefer for increase of AUM then for AEI. Though both can be yield accreditive.
But every rights issue is an opportunity just like every IPO, if you decipher the values correctly.
WB:-

1) Rule # 1, do not lose money.
2) Rule # 2, refer to # 1.
3) Not until you can manage your emotions, you can manage your money.

Truism of Investments.
A) Buying a security is buying RISK not Return
B) You can control RISK (to a certain level, hopefully only.) But definitely not the outcome of the Return.

NB:-
My signature is meant for psychoing myself. No offence to anyone. i am trying not to lose money unnecessary anymore.
Reply
(19-02-2014, 11:50 PM)momoeagle Wrote: I will be subscribing for the rights plus excess rights. That's if u believe the management that current properties have lots of untapped potential which can be unlocked further with AEI

I will be subscribing too. Big Grin
My Dividend Investing Blog
Reply


Forum Jump:


Users browsing this thread: 3 Guest(s)