CapitaLand is seeking to raise approximately RMB2.1bn (€252m) to list a shopping centre real estate investment trust (REIT) on the Shanghai Stock Exchange.
The Singapore group’s initial public offering of the Commercial C-REIT (CLCR) will be China’s first international-sponsored retail C-REIT upon listing.
Three of the group’s units - CapitaLand Investment (CLI), CapitaLand Integrated Commercial Trust and CapitaLand Development - will collectively hold at least a 20% interest in CLCR.
As the sponsor and asset manager of CLCR, CLI will continue to operate CapitaMall SKY+ and CapitaMall Yuhuating assets post-listing. Additionally, CLI will support the growth of CLCR and CLCT with plans to offer a pipeline of potential assets.
The Guangzhou centres are currently owned by CLI and its private development arm and the Changsha asset belongs to CapitaLand China Trust.
CLI said the listing aligns with its “domestic-for-domestic” fund strategy to tap onshore capital and grow its funds under management to generate recurring fee income.
The Chinese Securities Regulatory Commission has cleared the trust to list by the end of this year.
Capitland, which launched Singapore’s first S-REIT in 2002, now known as CapitaLand Integrated Commercial Trust, Singapore’s largest REIT, also holds stakes in seven listed funds: five in Singapore, one in Malaysia and one in Japan.
The group has more than 30 years of experience operating in China.
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