Attracting nearly 130 billion! The first "sunshine" REIT of the year sets two records

A "sunshine fund" Guotai Junan Securities Jinan Energy Heating REIT received subscriptions totaling 129.293 billion yuan, setting a historical high for the public subscription multiple of public REITs, while the actual confirmation ratio of effective subscription applications from public investors also hit a historical low.

On January 9, Shanghai Guotai Junan Securities Asset Management Co., Ltd. (hereinafter referred to as "Guotai Junan Asset Management") announced that as of January 6, 2025, the sales results of its Guotai Junan Jinan Energy Heating REIT showed that the number of effective subscription fund shares by public investors was 12.202 billion shares, which is 813.44 times the initial number of fund shares offered to the public, setting a historical high for the public subscription multiple of public REITs.

At the same time, the announcement indicated that the actual confirmation ratio of effective subscription applications from public investors for the Guotai Junan Jinan Energy Heating REIT was only 0.12293446%. This means that an investor subscribing for 10,000 yuan could only be allocated 12.29 yuan.

According to statistics from Wind data reported by The Paper, the actual confirmation ratio of effective subscription applications from public investors for the Guotai Junan Jinan Energy Heating REIT has set a historical low. The previous record holder was the Huaxia Tebian Electric Power New Energy REIT, which had a final investor confirmation ratio of 0.2229644%.

From the perspective of the public offering phase, the announcement from Guotai Junan Asset Management indicated that the public fundraising for the Guotai Junan Jinan Energy Heating REIT began on January 6 and was announced to have ended early on the same day.

Additionally, according to the fund share sale announcement released by Guotai Junan Jinan Energy Heating REIT on January 3, the number of effective bids from investors in the offline sale reached 80, with the number of managed allocation targets being 234, and the total effective subscription amount was approximately 4.934 billion shares, which is 140.96 times the initial offline sale share (35 million shares), setting a new high for offline inquiry multiples in public REIT projects in the past two years.

Specifically, the total amount of fund shares raised by the Guotai Junan Jinan Energy Heating REIT was 200 million shares, consisting of three parts: strategic placement, offline sale, and public sale.

Among them, the initial sale amount for strategic placement was 150 million shares, accounting for 75% of the total fund share sale; the initial sale amount for the offline sale was 35 million shares, accounting for 70% of the sale amount after deducting the initial sale amount for strategic placement; the initial sale amount for the public sale was 15 million shares, accounting for 30% of the sale amount after deducting the initial sale amount for strategic placement.

Based on the confirmed subscription price of 7.48 yuan/share in the sale announcement, the offline sale shares attracted a total of 36.903 billion yuan in subscriptions, public investors subscribed for a total of 91.268 billion yuan, and the strategic placement portion attracted 1.122 billion yuan in subscription funds, bringing the total funds attracted by the Guotai Junan Jinan Energy Heating REIT to 129.293 billion yuan "Guotai Junan Securities Jinan Energy Heating REIT has set a new high in subscription multiples since its launch, thanks to the robustness of the underlying asset operations. The heating industry, as an important part of urban public services, features relatively rigid demand and stable operations. The issuance of Guotai Junan Securities Jinan Energy Heating REIT not only provides investors with more diversified asset choices but also expands new asset types for the public REITs market," said Guotai Junan Asset Management.

Industry insiders pointed out that the normalization of public REITs market issuance is accelerating. By the end of 2024, the total number of publicly listed REITs products in the market has reached 58, of which 38 are listed on the Shanghai Stock Exchange.

In addition, the performance of public REITs in the secondary market has also been impressive. Data shows that as of the close on January 8, the CSI REITs Total Return Index has risen by 1.81% since the beginning of 2025, with a cumulative increase of 7.01% over the past month. More than ten products have seen an increase of over 10% in the past month, highlighting the growing value of public REITs as a major asset allocation.

Author of this article: Ding Xinqing, Source: The Paper, Original title: "Attracting Nearly 130 Billion! The First 'Sunshine' REIT of the Year Sets Two Records"

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