Company Briefs: Ascendas Real Estate Investment Trust

Ascendas Real Estate Investment Trust

Ascendas Real Estate Investment Trust (A-Reit) is selling A-Reit Jiashan Logistics Centre, a logistics facility near Shanghai, China. The property's attributable value is $26 million.

The move will "further strengthen... resources to look at other opportunities in Singapore, Australia and China", said Mr Chia Nam Toon, executive director and chief executive of Ascendas Funds Management, A-Reit's manager.

Proceeds from the proposed sale may be recycled to fund committed investments, used to repay loans, extend loans to subsidiaries or fund general corporate and working capital needs, the company said in an exchange filing yesterday.


Otto Marine

Offshore marine group Otto Marine's wholly-owned unit PT Batamec has secured a shipbuilding contract worth US$14 million (S$19 million) from an Indonesian state-owned enterprise. The tanker, which will operate off Indonesia, is expected to be delivered in the second quarter of 2018.

The contract is expected to have positive contribution to the company's earnings and net asset value for the financial years ending Dec 31, 2017 and Dec 31, 2018.


Mapletree

Mapletree Investments has acquired a development in Vietnam's Ho Chi Minh City from Kumho Industrial Company and Asiana Airlines. Called Kumho Asiana Plaza, it comprises a 21-storey Grade A office building, a 32-storey serviced apartment tower, 21-storey hotel and a retail podium with food and beverage offerings.

The net asset value of the development is estimated at about US$215 million (S$291 million). It is Mapletree's largest acquisition involving a completed, income-producing property in Vietnam.

Mapletree group chief executive Hiew Yoon Khong said the company "will continue to seek investment opportunities in completed, quality assets that are immediately yield-accretive in Vietnam's major cities such as Ho Chi Minh City and Hanoi".

He added: "We are also keen to invest in greenfield opportunities to develop office, retail, residential, serviced apartment and mixed-use developments, either on our own or with local partners."

A version of this article appeared in the print edition of The Straits Times on June 10, 2016, with the headline 'Company Briefs'. Print Edition | Subscribe