Another US real estate company is joining the wave of public offerings on the TASE. The latest planned offering is for the first time by one of the most prominent REITs in the US - KBS Capital Markets Group. Market sources believe that KBS will try to raise $100-150 million.
KBS was founded in 1992 by industry leaders Peter Bren and Charles J. Schreiber Jr. and in 2002 they were joined by Keith Hall and Peter McMillan III. The company currently manages six US Securities and Exchange Commission (SEC) registered funds.
The company says it has sold over 1,000 properties and manages 3.8 million square meters and is the fifth largest such body in the US holding office real estate.
The KBS SOR (BVI) fund will be offered on the TASE. KBS SOR holds 23 income producing properties, mainly offices but also including real estate for investment in the residential, land, and minority shares (less than 5%) in a company with an industrial buildings portfolio.
The company says that the funds being raised in Tel Aviv are to finance ongoing operations, purchase of new properties, improvement of existing assets, and partnership stakes in assets.
Like most of the US real estate companies that have issued bonds on the TASE, KBS is incorporated in the Virgin Islands. Hall is expected to serve as CEO of the new company and McMillan III as chairman. The TASE offering will be led by underwriters Poalim IBI Underwriting and Investments Ltd. (TASE:PIU) and Leumi Partners.
Published by Globes [online], Israel business news - www.globes-online.com - on February 7, 2016
© Copyright of Globes Publisher Itonut (1983) Ltd. 2016