SINGAPORE (THE BUSINESS TIMES) - Frasers Property on Monday (Feb 10) announced that Frasers Property Retail has entered into an agreement to acquire property manager AsiaMalls Management for an undisclosed sum.
AsiaMalls Management manages a portfolio of five malls in Singapore: Century Square, Hougang Mall, Tampines 1, Tiong Bahru Plaza and White Sands. It also manages a 20-storey office tower, Central Plaza, along Tiong Bahru Road.
The six properties are held by PGIM Real Estate AsiaRetail Fund (PGIM ARF), in which the Frasers Property group holds a collective 88 per cent stake.
On completion of the acquisition, AsiaMalls Management will become a subsidiary of Frasers Property Retail Management, and will continue to provide property management to PGIM ARF for these six properties.
"With the management of a wider network of suburban malls island-wide, we will unlock greater operational synergies that allow us to compete more effectively in this fast-evolving retail landscape," said Low Chee Wah, chief executive officer at Frasers Property Retail.
The deal enables Frasers Property Retail to drive "greater operational synergies" across its portfolio, which comprises 14 malls in Singapore, including suburban malls such as Northpoint City, Frasers Property said in its bourse filing, which did not specify the purchase price for the acquisition.
Frasers Property Retail oversees asset, property management of the group's retail assets in Singapore, and the management of Frasers Centrepoint Trust. It is a retail-focused platform under Frasers Property Singapore, a strategic business unit of Frasers Property.
Separately, Frasers Property on Friday reported a 9.5 per cent rise in its first-quarter net profit to $159.4 million, lifted by improved revenue.
Shares of Frasers Property fell $0.02 or 1.2 per cent to close at $1.65 on Friday.