NetLink NBN Trust says IPO 2 times subscribed

NetLink NBN Trust says IPO 2 times subscribed
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SINGAPORE (July 18): The trustee-manager of NetLink NBN Trust says total subscriptions valued at S$4.7 billion were received, representing a subscription rate of two times.

NetLink NBN Management says its initial public offering of about 2.9 billion units was oversubscribed, with "strong support from both institutional and retail investors".

Priced at 81 Singapore cents per unit, the offering comprised an international placement of 2.7 billion units to investors, including institutional and other investors in Singapore and an offering of 185 million units to the public in Singapore.

Based on the offering price of 81 Singapore cents per unit, the NetLink group is expected to pay an annualised distribution yield of 5.43% for forecast period 2018 and a distribution yield of 5.73% for projection year 2019 respectively.

Immediately after the offering, Singtel will hold 24.99% of the units in NetLink NBN Trust, which will have a market capitalisation of S$3.1 billion, assuming that the over-allotment Option is not exercised.

Trading of the units on the Mainboard of the SGX is expected to commence at 3pm on Wednesday.