Indiabulls Trust falls 7.5% in Singapore debut

Indiabulls Trust falls 7.5% in Singapore debut
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First Published: Wed, Jun 11 2008. 12 32 PM IST
Updated: Wed, Jun 11 2008. 12 32 PM IST
Reuters
Singapore: Indiabulls Properties Investment Trust opened flat at its IPO price of S$1.00 but then fell as much as 7.5% in its Singapore market debut on 11 June.
The fall continues the poor record for listing of new real estate investment trusts, after the last two REITs to list in Singapore, Lippo-Mapletree Indonesia Retail Trust and Saizen REIT, tanked on their debuts last November and are still trading as much as 31% below their IPO price.
Indiabulls Trust, a subsidiary of Indiabulls Real Estate, had raised S$353.5 million after pricing its initial public offer at the lower end of the indicative price band of S$1 to S$1.10.
In a sign that retail investors’ interest in new listings remains weak, Indiabulls Trust said 1.75 million out of the 13.1 million units alloted to its public offer were not taken up, despite the REIT extending the offer by an extra day last week.
“The unsubscribed retail units were transferred to the placement tranche for institutional investors and have been fully taken up, making the offer about 1.3 times subscribed overall,” Indiabulls Trust said.
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First Published: Wed, Jun 11 2008. 12 32 PM IST