Moody's outlook on the Korean banking system has been negative since May 2016.
Based on the enlarged share capital of 505.3 million units, the total market capitalisation of KIP REIT upon listing is estimated to be at RM505.3 million.
It said Jan 17 would be the price determination date and listing scheduled for Feb 6.
Bernama reported Lim Han Gie, Chief Executive Officer of KIP REIT Management Sdn Bhd, the manager of KIP REIT, as saying the bulk of the proceeds will be used purchase property assets consisting of five KiP Marts located in Tampoi, Kota Tinggi, Masai, Senawang and Melaka, and a neighbourhood retail centre known as KiP Mall in Bangi.
"The portfolios are strategically located in growing catchment townships in the southern and central regions of Peninsular Malaysia. A small portion of the proceeds will be used for listing expenses," he said in a media briefing.
Lim said investors would have an opportunity to invest in a unique portfolio as KIP REIT's properties were hybrid -- between a traditional fresh wet market and conventional shopping centre, which cater to the lower- and middle-income customers.
"As a one-stop hybrid community-centric retail centre, we offer conducive environment for small and medium traders to sustain and grow their businesses, coupled with our active advertising and promotion (A and P) programmes to support them.
"Hence, we represent strength during the adverse economic conditions when consumers are more prudent in spending and will actively source for value-for-money products or services that are commonly found in KiP Mart," he said. The occupancy rate of the properties was consistent averaging at 85.3%, he said.
Besides that, Bernama quoted Lim as saying that KiP Mall Kota Warisan in Sepang, which is expected to be completed in the second quarter of 2017, will be on KIP REIT's list of the right of first refusal.
According to its website, the first KIP Mart complex opened in Masai, Johor in 2002 as a community-centric hybrid retail centre. Following its success and popularity with the local community, another outlet was opened in Tampoi in 2004. This was followed closely by other outlets in Kota Tinggi, Senawang and Melaka.
KIP Mart’s nation-wide footprint includes presence in the Southern region in the state of Johor and Melaka, Central region around the state of Selangor and Negeri Sembilan with plans to add more outlets in central region and move upwards to Northern region in the state of Kedah and East Coast region in the state of Pahang.
KIP Group develops, leases and manages all of its own KIPMart.
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