PETALING JAYA: IOI Properties Group Bhd

’s (IOIPG) real estate investment trust (REIT), IOIPG Malaysia REIT, has fixed its institutional and final retail offering prices at 91 sen per unit, following the completion of its book-building exercise.

The Malaysian public portion of 110 million units was oversubscribed 1.59 times, with 10,859 applications received for 175 million units.

The non-Bumiputera portion was oversubscribed 2.85 times, while the Bumiputera portion recorded a subscription rate of 0.33 times.

The restricted offering to eligible IOIPG shareholders was also oversubscribed 1.1 times, with valid applications for 604.18 million units. Meanwhile, the institutional offering was fully subscribed.

At the final retail price of 91 sen, IOIPG REIT is expected to have a market capitalisation of about RM5bil upon its listing on Bursa Malaysia’s Main Market.

The offer price translates into a projected distribution yield of 6.96%, based on an annualised projected distribution of 6.33 sen per unit for the financial period ending June 30, 2027.

The IPO is expected to raise approximately RM2bil for IOIPG.