TPL REIT Fund I, managed by TPL REIT Management Company Limited (TPL RMC), has achieved its First Financial Close with the disbursement of the first tranche comprising 50 percent of the maiden round of equity funding amounting to Rs5.62 billion from eight leading commercial banks of Pakistan, including; Habib Bank Ltd, Bank AL Habib, Bank Alfalah Ltd, Bank of Punjab Ltd, National Bank of Pakistan Ltd, Habib Metropolitan Bank Ltd, Soneri Bank Ltd and Askari Bank Ltd
TPL REIT receives Pakistan’s largest-ever equity transaction
According to the stock filing, Rs 5.62 billion accounts for 50 percent of the total raise, which is released as a part of the first tranche, as the fund satisfied all its condition precedents for disbursement. The other half of the equity will be disbursed in two more tranches based on specific milestones that were agreed upon with the Anchor Investors. The CEO of Next Capital, Najam Ali, wrote; “Under testing economic conditions, TPL REIT Fund 1 achieves financial close as 8 banks disburse PKR 5.625B with total commitments of 11.25B. This is Pakistan’s largest equity transaction.”
Under testing economic conditions, TPL REIT Fund 1 achieves financial close as 8 banks disburse PKR 5.625B with total commitments of 11.25B. This is Pakistan’s largest equity transaction. Next Capital is exclusive advisor to TPL RMC. Congratulations to Ali Jameel and Ali Asgher. pic.twitter.com/1EwocohF5x
— Najam Ali (@NajamAli2020) June 27, 2022
Funds will be utilized for the development costs of the Initial Asset Portfolio
Out of the total initial fund size amounting to Rs18.35bn, TPL Properties is contributing Rs7.1bn of land value to the fund in the form of investment property called initial asset portfolio which includes the first Technology Park in Pakistan, the first sustainable integrated master plan community, Mangrove, and a residential asset; One Hoshang. According to the stock filing, TPL RMC is established to capitalize on the Real Estate development and management expertise of its parent company by launching Sustainable Development Impact REIT Funds across diverse real estate asset classes in Pakistan.
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