THE Singapore listed Macquarie MEAG Prime REIT has put its future on the line after receiving unsolicited approaches to go private.
MMP REIT said the review is being initiated following the receipt of a number of unsolicited approaches made to Macquarie Real Estate, which has a 26% interest in MMP REIT, with an associated entity indirectly holding a 50% interest in Macquarie Pacific Star.
“The quality of MMP REIT’s portfolio of real estate assets is supported by MMP REIT’s recent announcement of an increase in its net asset value, as at 31 December 2007, to $S1.61 per Unit.
“MMP REIT is trading at a substantial discount to its net asset value and the strategic review will be designed to explore the means by which this gap may potentially be closed,” the trust added.
The trust was listed on the mainboard of the Singapore Stock Exchange in September 2005 and currently has a $S2.2 billion office and shopping mall property portfolio. MMP REIT is the only Singapore REIT to own two landmark properties on
MMP REIT owns 74.23% strata title interest in Wisma Atria and 27.23% strata title interest in
MMP REIT has seven other properties located in the prime areas of Roppongi, Shibuya-ku, Minato-ku and Meguro-ku in Tokyo, and a premier retail property in Chengdu, China.
Macquarie Pacific Star intends to appoint Macquarie Securities (Asia) Pte Limited of
Macquarie Pacific Star said there is no assurance that the strategic review will result in any specific transaction.
Meanwhile, the board of MRES is supporting the MMP REIT’s decision to undertake the strategic review, adding that it has received a number of offers for its 26% interest in MMP REIT units.
“While MRES has made no final decision in relation to its stake in MMP as this is dependent on the outcome of the strategic review, it is committed to seeking to find ways to provide all MMP unitholders with access to value-maximising proposals,” MRES said in a statement.
Australian Property Journal
