IMAGE REIT to list at PSX to raise Fund through IPO

KARACHI: IMAGE REIT, a Shariah-compliant hybrid and perpetual Real Estate Investment Trust (REIT) scheme managed by Sinolink REIT Management Company Limited, is set to be listed on the Pakistan Stock Exchange (PSX). This is an opportunity for investors to capitalize on recovering real estate market.

The target size of IMAGE REIT is approximately Rs 2,750 million, with Rs 920 million to be raised through the IPO, while the current REIT size already stands at around Rs 1,830 million.

IMAGE REIT generates income through two prime projects in Karachi: an 8-floor, fully occupied commercial building on Shahrah-e-Faisal, and a residential-cum-commercial project located on Tipu Sultan Road, which is expected to generate both sales and rental income.

The Initial Public Offering consists of 92,015,467 Units, representing 33.36% of the post-IPO paid-up units of the REIT Scheme. The IPO will be conducted through a 100% Book Building method, with a floor price of Rs 10 per unit, and a price band of up to 40% (i.e., Rs 14 per unit). The retail portion will comprise 25% of the total issue size and will be offered to the general public at the strike price determined post Book Building.

Proceeds from the IPO will be utilized for the completion and marketing of 11 residential floors of the Developmental REIT project. The Central Depository Company of Pakistan Limited (CDC) has been appointed as the Trustee of IMAGE REIT.

Sinolink REIT Management Company Limited is a licensed REIT Management Company dedicated to developing innovative, Shariah-compliant investment opportunities in Pakistan’s real estate sector, providing both institutional and retail investors with access to professionally managed real estate portfolios.

Topline Securities and Growth Securities are joint Consultants and Book Runner for this IPO.