Units of mainboard-listed Perennial China Retail Trust (PCRT) will be suspended from trading next week after a buyout exercise by its parent passed the 90 per cent mark.
In October, developer Perennial Real Estate Holdings (PREH) made a voluntary conditional offer to acquire all the remaining units of PCRT in exchange for new PREH shares.
This followed the completion of a $1.56 billion reverse takeover by PREH of nightlife firm St James Holdings.
The units are to be swapped at 70 cents each.
PREH's financial advisers said yesterday that the company has amassed 90.64 per cent of PCRT's units.
This means that the Singapore-listed PCRT will lose its free float status. Under Singapore Exchange (SGX) rules, at least 10 per cent of a listed entity's total units have to be held by the public.
PREH, which owns real estate assets in China and Singapore, will move to de-list PCRT, which will be suspended from trading on Dec 23, the day after the offer closes.
PCRT unitholders who participate in the share swap will receive 0.52423 PREH shares for each PCRT offer unit, at an issue price of about $1.3353.
The offer had been declared unconditional in all respects on Nov 14.
PCRT announced in a statement yesterday that the board will "release further announcements at the appropriate junctures". PCRT units closed one cent or 1.82 per cent lower at 54 cents yesterday.
PREH's portfolio comprises mixed-use developments in China worth $13.1 billion, as well as properties here - including Capitol Singapore, Chijmes and TripleOne Somerset - which have a total gross development value of $3.8 billion.
PREH's shares are set to commence trading on the mainboard by Dec 31.
This article was first published on Dec 19, 2014.
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