IOIPG Malaysia Reit fixes IPO at 91 sen, expects to raise RM2 billion
Public demand reached 1.59 times the allocation, while institutional investors subscribed fully to their portion.
IOIPG Malaysia Reit expects its initial public offering to raise about RM2 billion after setting a price of 91 sen for each unit following bookbuilding. The real estate investment trust of IOI Properties Group Bhd said its public offer recorded oversubscription of 0.59 times.
The price is below the original retail offer of 96 sen. At the final price, the trust expects a market capitalisation on listing of RM5 billion.
The public offer attracted 10,859 applications covering 175 million units, equivalent to 1.59 times the allocation. Non-Bumiputera applicants sought 156.76 million units through 9,114 applications, producing oversubscription of 1.85 times. Bumiputera demand fell short of the allocation: 1,745 applications sought 18.24 million units, a subscription rate of 0.33 times.
Institutional investors took up the entire offering of up to 1.48 billion units. The trust said long-only investors accounted for most interest, including insurers and government-linked investment companies. Eligible directors, employees and business associates also subscribed for all 55 million units reserved for them.
Entitled shareholders applied for 604.18 million units under the restricted offering, which had 550.61 million units available.
The trust projects a 6.96 per cent distribution yield at the final IPO price. This is based on a projected annualised distribution of 6.33 sen a unit for the financial period beginning September 11, 2026, and ending June 30, 2027.
Retail applicants receiving units will be refunded five sen per allotted unit without interest. The refund is due within 10 market days from the final ballot applications date. Allotment notices are expected to be sent by post by November 24, 2026.
