Singapore and Australia-heavy office landlord Keppel REIT announced on 19 September that its private placement for 195 million new units has been oversubscribed and has raised proceeds of SGD228.15 million from the exercise.

Citigroup Global Markets, as agents for the placement exercise, has closed order books for the private placement exercise which was announced on 18 September and open to mainly institutional investors.

Out of the proceeds raised, approximately SSG224.6 million will be used for the acquisition of the one-third interest in Marina Bay Financial Centre Tower 3 acquisition announced on 18 September while the rest will be used to pay the expected transaction fees.

Keppel REIT is acquiring the stake in the Grade A office tower from parents Keppel Land.

The placement exercise will increase the number of Keppel REIT units in issue by approximately 6.9% from a total of 2,806,974,946. Managers of the REIT has applied to the Singapore Exchange to list the new units and will make an announcement once this materialises.

Units of Keppel REIT slipped by 1.22% to end at SGD1.22 at the end of the trading day on 19 September.