This post is to share the results of Frasers Centrepoint Trust Preferential Offering. If you had accepted the offer or applied for excess, you should already see the units in your Central Depositary (CDP) account. A total of 122,584,803 Preferential Offering Units, including valid acceptances and excess applications were received. This represented 124.8% of the total number of Preferential Offering Units available under the Preferential Offering which means the Preferential Offering was 24.8% oversubscribed.
If you are not aware of what is going on, Frasers Centrepoint Trust launched Preferential Offering on Tuesday, 8th April 2025. The preferential offering is intended to raise funds for its recent acquisition of Northpoint City South Wing at an agreed property value of S$1,133 million.
For every 1,000 existing Units, unitholders are given 54 preferential offering units. The new units are offered at an issue price of S$2.050 per New Unit. This represents a discount of approximately 7.4% to the volume weighted average price (“VWAP”) of S$2.2136 per Unit.
Results of Frasers Centrepoint Trust Preferential Offering
A total of 98,185,673 Preferential Offering Units will be issued at the issue price of S$2.050 per
Preferential Offering Unit to raise gross proceeds of approximately S$201.3 million. Together
with the gross proceeds of approximately S$220.0 million raised from the Private Placement,
gross proceeds of a total of approximately S$421.3 million have been raised from the Equity
Fund Raising.
| Number of Preferential Offering Units |
% of Preferential Offering |
|
| Valid acceptances | 79,023,072 | 80.5% |
| Excess applications | 43,561,731 | 44.4% |
| Total valid acceptances and excess applications |
122,584,803 | 124.8% |
Updates to My Stock Portfolio
I have received both my preferential offering units of Frasers Centrepoint Trust and excess units that I applied for. REITs have been extremely generous nowadays. Back in olden days, it is difficult to be fully allotted the excess units.
With the additional units, Frasers Centrepoint Trust makes up 7.42% of my stock portfolio. My top holding is still CapitaLand Integrated Commercial Trust (CICT), and Frasers Centrepoint Trust is my second largest holding. CICT became my largest holding because they also launched a preferential offering not long ago.
Frasers Centrepoint Trust Share Price and Current Dividend Yield
Frasers Centrepoint Trust share price open at S$2.28 on 25th April 2025. As you can see from the above chart, this is already a gain of S$0.23 per unit if you sell them immediately on the stock exchange today.
As a dividend investor, I am interested to keep these units for passive dividend income. Based on Frasers Centrepoint Trust share price and FY24 DPU of 12.042 cents, Frasers Centrepoint Trust current dividend yield is 5.28%.
Based on the preferential offering unit price of S$2.05, the dividend yield for those units that you received would be 5.87%.
Did you apply for Frasers Centrepoint Trust Preferential Offering? Did you receive the excess units as well?