Frasers Centrepoint gets nod to list hospitality trust

Frasers Centrepoint has gotten the green light from the Singapore Exchange (SGX) to list a hospitality trust.

It said after the market closed that the SGX issued it an eligibility-to-list letter on March 12 for a proposed initial public offering and mainboard listing of a stapled trust.

The stapled trust will comprise an initially dormant business trust and a hospitality real estate investment trust (reit) which will hold a portfolio of hotels and serviced residences.

The firm said it had also submitted a circular to the SGX for review, "in connection with the proposed establishment of the reit and the injection of certain properties into the reit, for the purposes of seeking shareholders' approval".

Frasers, which is controlled by Thai billionaire Charoen Sirivadhanabhakdi, added in its statement that there was "no certainty" that it would list the hospitality trust.

Frasers was said to be looking to raise up to $600 million through listing a hospitality trust in Singapore in the second quarter of the year, according to a Reuters report last month that cited sources.

The report said the hospitality reit could hold serviced residences owned by Fraser and Neave and other assets such as the Intercontinental Hotel in Singapore which is owned by Mr Charoen's TCC Group.

It also named DBS Bank, HSBC, Morgan Stanley and UOB as deal advisers.

Frasers Centrepoint shares fell two cents to $1.575.

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