ESR-Reit will not raise offer price for Sabana in proposed merger

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ESR-REIT does not intend to increase the scheme consideration for its proposed merger with Sabana Shari'ah Compliant Industrial Real Estate Investment Trust (Sabana Reit), its manager said in a bourse filing on Thursday. Read more at The Business Times.

. It also pointed out that the Reit had consistently traded at a discount to its net asset value in recent years.

They include trading unit prices and the corresponding exchange ratio, pro forma dividend per unit accretion, the ability to leverage benefits of scale, enhancements to portfolio resilience and diversification, and other potential upsides not available in an asset sale. The pro forma DPU accretion of 12.9 per cent for Sabana Reit unitholders, on a H1 2020 annualised adjusted basis, will be"the highest in the history of S-Reit mergers", it added.

 

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