Corporate Debt Restructuring Masterclass

18 July 2022 (Mon), 5pm Singapore/HK time

At an extraordinary general meetings (EGM) held on Monday, shareholders of Mapletree Commercial Trust (MCT) and Mapletree North Asia Commercial Trust (MNACT) approved the S$4.02bn ($3.1bn) merger deal, announced in January this year, to create Mapletree Pan Asia Commercial Trust (MPACT). MPACT will be the seventh-largest REIT (Term of the Day, explained below) in Asia with an expected market value of S$10bn ($7.27bn). Around 91.7% of MCT’s and 86.2% MNACT’s shareholders voted in favor of the merger. As a part of cash-only consideration, MCT offered to pay S$1.1949 ($0.87) per share of MNACT. Options to receive payment in MCT shares or a combination of stock and cash are also available. To fund an additional cash requirement of up to S$2.2bn ($1.6bn) in the new scheme, MCT will also make a preferential offering of S$2.0039 per unit. Temasek-owned Mapletree Investments, the sponsor of both MCT and MNACT, has provided an undertaking to subscribe up to the full S$2.2bn ($1.6bn). Post-merger, MPACT’s portfolio will constitute 18 commercial assets across 5 Asian markets such as Singapore, Hong Kong, Japan, South Korea, and China with a total AUM of S$17.1bn ($12.42bn). With necessary approvals, the scheme will be implemented by August and MNACT will get delisted from the Singapore exchange by mid-August.

MCT’s dollar bonds were trading lower with its 3.05% 2029s down over 0.28 points to 96.3 yielding 3.62%.

For the full story, click here

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