Sabana Reit trustee to hold EGM for proposed trust deed amendments
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New Tech Park at Lorong Chuan is part of Sabana Reit's portfolio.
PHOTO: THE BUSINESS TIMES
SINGAPORE - Sabana Industrial Real Estate Investment Trust’s (Reit) trustee said it will “work expeditiously” to convene an extraordinary general meeting (EGM) for unit holders to approve proposed amendments to the trust deed.
Such amendments are deemed necessary to effect the internalisation of its management function and the EGM will “provide clarity and certainty” for unit holders, said HSBC Institutional Trust Services on June 12.
An EGM will also facilitate the progress of workstreams previously delayed due to various uncertainties, said the trustee, adding that it was a “logical and necessary next step in the internalisation process”.
The trustee’s intended EGM, however, differs from a separate EGM called for by requisitionists in a June 6 letter, where Sabana Reit’s manager previously noted “entirely new and different resolutions” proposed as compared to an earlier May 29 letter.
As of June 12, HSBC Institutional Trust Services noted that the manager was in the process of considering these latest requisitioned resolutions and seeking legal advice.
Should the manager decide to convene an EGM to table these resolutions, the trustee said it will endeavour to table other resolutions relevant to the internalisation – including those from its own intended EGM – at the requisitionists’ EGM.
Being able to consider all resolutions at a combined EGM in a “holistic, orderly and efficient manner” would be in the interests of all unit holders, added HSBC Institutional Trust Services.
Additionally, the trustee established a new wholly owned entity for the purposes of acting as Sabana Reit’s internalised manager.
Remaining outstanding workstreams include identifying and continuing to engage with qualified candidates whom the trustee intends to propose as directors and senior management of the new manager, as well as formulating a funding and operational model for the manager.
Upon finalising these two workstreams, the trustee intends to apply for a capital markets services licence for the new internalised manager.
Units of Sabana Reit were trading up 0.5 cent, or 1.4 per cent, at 35.5 cents as of 10.49am on June 12, after the statement was released. THE BUSINESS TIMES
