Charter Hall Long WALE REIT closed its A$125 million fully underwritten, 1-for-8.1 accelerated nonrenounceable entitlement offering with the completion of the A$44 million retail component of the offer.
The retail offering, which closed Dec. 20, comes on the back of the completed A$81 million institutional component of the offering.
For the retail component, eligible retail security holders were able to apply for their entitlement securities and new securities exceeding their allotment by up to 50% of their entitlement levels. Consequently, retail security holders applied for roughly A$26 million worth of securities, which reflected an approximately 60% participation rate, while the remaining A$18 million will be allocated to institutional investors who sub-underwrote the retail component of the offering.
One security of the real estate investment trust was offered in exchange for 8.1 securities held at a per-share issue price of A$4.05 as part of the completed portion of the offering. Charter Hall Group invested approximately A$24 million in the offering.
Proceeds from the entitlement offering will be used by the REIT to partially fund the A$207 million acquisition of a 27-property agri-logistics portfolio of hatcheries, feed mills and breeder farms in Australia.