ESR Group, on Sept 30, announced that it is in the process of acquiring a further 7.7% stake in the manager of SGX-listed ESR-LOGOS REIT (E-LOG) from Mitsui & Co.
With the acquisition of Mitsui’s stake, ESR now owns 99% of the E-LOG manager.
Prior to this transaction, ESR had acquired 654,546 shares in the E-LOG manager from Shanghai Summit, a company wholly-owned by Tong Jinquan, on July 27. The July transaction had already brought ESR’s stake in the E-LOG manager to 91.3%.
“As the sponsor of E-LOG, we are delighted to have increased our stake in the E-LOG manager twice in quick succession to reach 99% and we thank Mitsui for their support. This transaction will further enable ESR-LOGOS REIT and the E-LOG manager to deliver on our strategy of creating long-term and sustainable value in an increasingly competitive market,” says Jeffrey Perlman, chairman of ESR.
“To this end, we remain steadfast in our support of E-LOG’s transformation into the leading new economy S-REIT with its scale, extensive offerings, capability and resources.”
Adrian Chui, CEO and executive director of the manager, says, “We would like to thank Mitsui for the positive and fruitful relationship we had, especially the two mergers with Viva Industrial Trust in 2018 and with ARA LOGOS Logistics Trust recently which positioned E-LOG as the 10th largest on the Singapore Exchange (SGX) in terms of market capitalisation.”
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He adds: “We will continue to work closely with our sponsor, ESR Group, to drive growth and value creation for our unitholders.”
Units in E-LOG closed flat at 35.5 cents on Sept 30.
