DEAL OF THE MONTH - Aug-Sept 2020



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The Philippines’ first REIT IPO

LAW FIRMS: ACCRALAW, Picazo Buyco Tan Fider & Santos, Allen & Overy, Dechert, Latham & Watkins

LAWYERS: Francis Ed Lim, Everlene Lee - ACCRALAW

JURISDICTION: Philippines

PRACTICE AREAS: Capital markets

INDUSTRY SECTORS: Real estate

The Philippines’ very first REIT IPO is our deal of the month for August.

Oversubscribed by double, AREIT is the very first real estate investment trust listed on the Philippine Stock Exchange and well-received among both domestic and overseas institutional investors, which constituted 70% of the base offer.

Backed by Ayala Group, one of the largest conglomerates in the country, its portfolio includes three properties in Makati, totalling more than 150,000 square meters.

Ayala Land’s decision to list its REIT amid COVID-19 pandemic surprised the market. Nonetheless, AREIT debuted in the Philippines bourse at an upsized $278 million valuation.

Considered as a landmark transaction and major development in the Philippine capital market due to its sheer size and unprecedentedness, the pioneering REIT is prioritized by the country’s stock exchange and regulatory body. This move to introduce REIT into the Philippine market is also welcomed by the investors.

 



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New Zealand’s first retail green bond in 2020

LAW FIRMS: Chapman Tripp, Bell Gully

LAWYERS: Cathryn Barber, Luke Ford

JURISDICTION: New Zealand

PRACTICE AREAS: Capital markets

INDUSTRY SECTORS: Energy

Mercury’s latest green bond on the NZX debt market is our deal of the month for September.

With the help of Chapman Tripp, New Zealand-based Mercury Energy has completed the issuance of its first new retail green bond in 2020.

Closed during the Auckland lockdown yet still oversubscribed by NZ$50 million, the NZ$200 million 7-year bond remains popular at the height of COVID-19 and aims to accelerate Mercury’s commitment on renewable energy.

Green bonds have become more and more prevalent across the globe, and in New Zealand especially, as the island country tries its best to realize a low carbon future. The transition from imported fossil fuels to renewable energy would be one step forward towards the goal.

Chapman Tripp’s team was led by Cathryn Barber, head of the national finance practice. She was assisted by sustainable finance expert Luke Ford.