NTT seeks up to $864 million in data centre REIT's Singapore IPO
NTT
is seeking to raise roughly $864 million in a Singapore IPO for a data centre REIT if an overallotment option is included, according to a term sheet that marked the start of the bookbuilding process.
NTT DC REIT's portfolio comprises six data centre assets located in the United States, Austria and Singapore, according to a preliminary prospectus filed on Friday.
The value of the base offering is between $772 million and $812 million while the overallotment option would add another $51.5 million, the term sheet sheet showed.
"We are not able to provide further details except for those officially announced by our company," NTT said in an emailed response to Reuters' request seeking comment on Monday.
If the yield is priced at 7.5%, the overallotment would exercised. If fully exercised, NTT would be left with a 20% stake in the REIT.
The REIT is being marketed at an indicative forecast distribution yield of 7% to 7.5% for July-March on an annualised basis and 7.29% to 7.80% for the next financial year.
The REIT would have a market cap of up to $1.08 billion, the term sheet also showed.
Bookbuilding is due to end on Friday with listing set for July 14.
Cornerstone investors in the IPO include Singapore's sovereign wealth fund GIC with a $101 million investment, according to the term sheet.
The Singapore Exchange has seen growing interest from companies seeking to list after it announced measures in February to strengthen its equities market, including a 20% tax rebate for primary listings.
Hong Kong-listed China Medical System said last week it had applied for a secondary listing of its shares on the bourse. Other companies seeking to list in Singapore include the city-state's Foundation Healthcare Holdings.
IPO proceeds raised on the Singapore Exchange surged more than five-fold to $331.6 million in the first half of this year from a year earlier, while the last listing of similar size was a $977 million IPO for Digital Core REIT in 2021, according to LSEG.
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The U.S. complicated its negotiating position with Japan and other countries by increasing tariffs as talks progressed, such as in June when Trump doubled global steel tariffs with no warning for trading partners. Other so-called national-security tariffs on products such as lumber, semiconductors and critical minerals remain in the planning process, making some nations hesitant to strike deals before they are unveiled. The administration's bellicose approach also became a political issue in some countries it was negotiating with, encouraging resistance to the U.S. rather than cooperation. Japanese Economic Revitalization Minister Ryosei Akazawa, right, with Treasury Secretary Scott Bessent, center, and Commerce Secretary Howard Lutnick in Washington on May 1. 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In June, Prime Minister Ishiba flew to Canada for a leadership summit of the Group of Seven industrialized nations hoping to force a compromise, but a meeting between Trump and him yielded no breakthrough. Japanese Prime Minister Shigeru Ishiba flew to the G7 summit hoping for a breakthrough. 'There are still points where our views remain divided," Ishiba told reporters. 'Automobiles are a major national interest…and we will continue to do everything we can to protect such interests." A senior lawmaker in Japan's ruling Liberal Democratic Party said that some of Ishiba's associates are arguing that he should hold firm to his demand for tariff relief in the hope that Trump backs down, perhaps if financial markets grow unsettled as the end of the 90-day tariff pause nears. A senior Trump administration official said the president's advisers have discussed the possibility of implementing further tariffs on Japan if a deal can't be reached. 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After Canadian officials on Sunday scrapped a plan to implement the digital-services tax, the two countries announced they would restart negotiations. Trump doubled tariffs on Canada's steel industry without warning in June. Steel coils at a mill in Hamilton, Canada. The U.S. and South Korea are redoubling negotiating efforts after a new government took power in Seoul last month. South Korea wants relief from tariffs on autos, steel and aluminum. Its proposed regulations on U.S. e-commerce firms doing business in South Korea have drawn the ire of Greer and American firms such as Google and Coupang, further complicating negotiations. U.S. negotiators raised the digital trade issue with South Korea's new trade negotiator, Yeo Han-koo, when he visited Washington in late June, said people with knowledge of the talks, but a deal isn't imminent. Elsewhere in Asia, the U.S. is demanding that nations take a hard line against China. The administration is struggling to finalize pacts with Vietnam and Cambodia, despite offers from those nations to reduce tariffs and trade barriers, according to people with knowledge of the talks. The White House wants Southeast Asian nations in particular to prevent China from shipping goods to the U.S. through their countries, to stop Chinese companies from setting up manufacturing and export operations in their countries, and to set their own tariffs and trade restrictions on Chinese goods, according to people with knowledge of the talks. Many of those nations are balking at being forced to choose between the U.S. and China, making any deals on those issues unlikely in the short term. One Asian economic official said the U.S. demands would be difficult to meet, given that the export-led economies in the region are so entwined with both the U.S. and China. Trump speaking at the G7 summit in June. From left: Treasury Secretary Scott Bessent, Secretary of State Marco Rubio, U.S. Ambassador to Canada Pete Hoekstra. and Canadian Prime Minister Mark Carney. The administration has appeared to make progress with the European Union, but domestic political considerations on the continent threaten to hamper Trump's goals. After the Journal reported on a draft 'agreement on reciprocal trade" setting out possible EU concessions on a range of policy issues, European Commission President Ursula von der Leyen pushed back, saying certain topics legislated by the EU are 'absolutely untouchable." She said the two sides discussed tariff lines, nontariff barriers such as standards and norms, and purchases the EU might make. 'But where it is the sovereign decision-making process in the European Union and its member states that is affected, this is too far," she said. Even some Republicans are growing frustrated with the White House's negotiating strategy. During a recent Senate Appropriations Committee hearing, Sen. John Kennedy (R., La.) asked, 'Are you or are you not pursuing reciprocity?" when Lutnick said he wouldn't agree to a hypothetical deal with Vietnam that would cancel out all tariffs and trade barriers in both countries. Kennedy later said: 'I was confused more after the hearing than before about their negotiating strategy here." Write to Gavin Bade at and Brian Schwartz at
