Perennial China Retail Trust (PCRT) has announced its decision to defer its S$1.1 billion (US$861 million) initial public offering (IPO) in Singapore, due to adverse market conditions.
The decision was made despite strong interest from cornerstone investors, including insurance companies, real estate developers and real estate specialist funds.
“In view of relatively volatile global market conditions, the Trustee-Manager and the Sponsor have decided that it would be in the best interests of investors to defer the proposed IPO,” it said.
PCRT is managed by former Chief of CapitaLand Shopping Mall Pua Seck Guan and was expected to be the first of some large trust IPOs in Singapore.
The trust was offering 1.1 billion shares at S$1.00 each.
Mr. Pua, who is internationally recognised for building CapitaLand’s mall business, resigned from the company in September 2008, resulting in a seven percent fall in the firm’s share price.