Selena Chua Kah Noi, CEO of Paradigm REIT Management, with Michael Oh-Lau, CEO of Maybank Investment Bank, at the signing ceremony of the underwriting agreement
PETALING JAYA: Paradigm Real Estate Investment Trust (Paradigm-REIT) has signed an underwriting agreement with Maybank Investment Bank Bhd (Maybank IB), CGS International Securities Malaysia Sdn Bhd, and AmInvestment Bank Bhd for its listing on the Main Market.
In a statement, Paradigm-REIT said that while Maybank IB is the principal adviser, lead bookrunner, and sole managing underwriter for the initial public offering (IPO), CGS International and AmInvestment will act as joint bookrunners and joint underwriters. No timeline has been announced for the IPO, at this juncture.
The proposed listing is part of WCT Holdings Bhd
’s broader asset monetisation strategy. WCT, which is the sponsor of Paradigm-REIT, had first announced plans in September 2024 to inject three of its retail properties – Paradigm Mall Petaling Jaya, Paradigm Mall Johor Bahru and Bukit Tinggi Shopping Centre Klang – into the REIT for a combined consideration of RM2.44bil.
Paradigm-REIT is scheduled to be listed with an initial fund size of 1.6 billion units, of which 560 million offer units will be made available under the institutional and retail offering. This includes a proposed retail offering of up to 254.66 million units and a proposed institutional offering of at least 305.34 million units.
“Maybank IB, CGS International, and AmInvestment will jointly underwrite the entire retail offering of up to 254,657,500 offer units,” the statement highlighted.
Meanwhile, it also noted that WCT has also granted Paradigm-REIT a right of first refusal (ROFR) to acquire real estate assets in Malaysia used for retail, commercial, industrial, and hospitality purposes – assets which WCT either controls or has developed.
A ROFR will grant Paradigm-REIT the priority to purchase a property from WCT before it can be offered to anyone else, if WCT decides to sell.
Paradigm-REIT Management Sdn Bhd, the manager of Paradigm-REIT, chief executive officer Selena Chua Kah Noi said the group’s “high-quality” asset portfolio and future pipeline form a solid base for sustainable, long-term value.
“Our high-quality asset portfolio and future pipeline provide a strong foundation for long-term, sustainable value creation. We look forward to delivering consistent returns and growth to our unitholders,” she noted.
Maybank IB chief executive officer Michael Oh-Lau said Paradigm-REIT offers an attractive investment opportunity, backed by a strong asset base, a seasoned management team, and a robust asset pipeline from its sponsor WCT Holdings.
“With its high quality and strategically located retail assets portfolio and seasoned management team, Paradigm-REIT is poised to be an attractive REIT investment proposition for investors, underpinned by its asset pipeline from its sponsor, WCT Holdings,” he noted.
