Ascendas REIT private placement oversubscribed at $2.944

Parts of the proceeds of the private placement will be used to fund its acquisition of Galaxis.

Ascendas Real Estate Investment Trust announced that its private placement of 142,644,000 new units have been oversubscribed.

"The Private Placement was approximately2.6times covered and drew strong demand from new and existing institutional, accreditedand otherinvestors," the company said in a bourse disclosure May 5.

The issue price was at a fixed $2.944 per unit, with an approximate gross proceeds of $420m.

Approximately $240.1m of the gross proceeds will be used to fund Ascenndas' acquisition of a 75% skate in Galaxis.

DBS Bank and Citigroup Global Markets were the joint lead managers and underwriters of the deal.