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Sasseur REIT to list in Singapore next month: report
Posted on Tuesday, 13 February 2018 07:40
Chinese outlet mall operator Sasseur is set to kick off an initial public offering of Sasseur REIT in Singapore next month to raise between SGD 500.00 million and SGD 600.00 million (USD 376.347 million and USD 451.61 million), the Business Times reported.

According to terms obtained by the newspaper, the proposed debut would value the real estate investment trust (REIT) at SGD 1.00 billion once it lists on 29th March.

The newspaper noted Sasseur REIT is expected to submit a prospectus to become the first outlet mall REIT listed on the Singapore Exchange on 1st March.

It has hired DBS, Bank of China, Citibank and Maybank Kim Eng as joint bookrunners for the process, which was pushed back last year until 2018 due to the response from investors at the time.

According to the Business Times, Sasseur REIT’s portfolio will include four outlet shopping centres in the Chinese cities of Chongqing, Bishan, Hefei and Kunming that have an aggregate value of about SGD 1.50 billion.

The unit is expected to have an indicative yield of 7.0 per cent in 2018 and mid-7.0 per cent per cent in 2019, and its sponsor is Sasseur Cayman Holding, which is backed by Ping An Insurance’s affiliate Ping An Real Estate.

According to its website, Sasseur operates nine outlet malls in eight major Chinese cities, including Nanjing and Xi’an, with an overall construction area of over 2.50 million square meters.

The group has spent CNY 20.00 billion+ (USD 3.18 billion+) on overall investments, and has annual sales revenue of more than CNY 10.00 billion.

LVMH Moët Hennessy Louis Vuitton’s private equity arm, L Capital Asia, injected USD 100.00 million into Sasseur Cayman Holding after leading a second round of financing in 2015.

The deal included participation from Warburg Pincus, which first took an equity position in 2011, though the existing shareholder declined to disclose the amount of its latest investment.

© Zephus Ltd