Keppel DC REIT Announces Equity Fund Raising and Distribution Details
Keppel DC REIT Announces Equity Fund Raising and Distribution Details
Keppel DC REIT has made a significant announcement regarding its upcoming equity fund raising initiative, set to raise gross proceeds of approximately S\$1 billion. This move is expected to have considerable implications for current shareholders and the market.
Key Details of the Announcement
- The Transfer Books and Register of Unitholders will be closed on 27 November 2024 for determining the provisional allotment of new units under the Preferential Offering and the entitlements to the distributable income from 1 July 2024 to 27 November 2024.
- The Private Placement New Units are slated for listing on the SGX-ST on 28 November 2024.
- The Advanced Distribution, intended solely for Existing Units, is estimated to be between 4.063 cents and 4.103 cents per unit, comprising taxable income, tax-exempt income, and capital distribution.
Important Information for Shareholders
Shareholders should note that the Private Placement New Units will not be entitled to the Advanced Distribution and will not be eligible for the Preferential Offering. This is crucial for current and prospective investors as it may impact share valuations.
The Advanced Distribution is expected to be paid on or around 10 February 2025, and shareholders must ensure their securities accounts are credited with units by the Preferential Offering Record Date to be eligible.
Taxation and Compliance
Distributions will be tax-exempt for Qualifying Unitholders, including individuals and REIT ETFs, while foreign non-individual investors may receive distributions net of 10% tax. Non-compliance with form submissions may result in a 17% tax deduction.
Potential Impact on Share Prices
This announcement could influence Keppel DC REIT’s share prices owing to the significant equity fund raising and the detailed distribution plan. Investors should be vigilant about the upcoming key dates and the implications of the new units’ issuance.
Important Dates
- 25 November 2024: Last date for “cum-distribution” basis quoting of Units.
- 27 November 2024: Closure of Transfer Books and Register of Unitholders.
- 16 December 2024: Deadline for submission of tax declaration forms.
- 10 February 2025: Expected payment date of the Advanced Distribution.
This announcement is crucial for existing and potential investors to understand their eligibility and the financial implications of the equity fund raising and distributions.
Disclaimer
This article is for informational purposes only and should not be construed as financial advice. Readers should seek independent financial advice before making investment decisions. The past performance of Keppel DC REIT is not indicative of future performance, and investments are subject to risk, including potential loss of principal.
View Keppel DC Reit Historical chart here
