Bangkok--2 Oct--Dusit International
Major unitholder Dusit Thani Public Company Limited votes in favour of the conversion, which will facilitate the company's strategy for sustainable and profitable growth
Dusit Thani Public Company Limited, one of Thailand's foremost hotel and property development companies and a major unitholder of the Dusit Thani Freehold and Leasehold Property Fund (DTCPF), has announced that unitholders representing 99.8814 percent of the total number of investment units (held by the unitholders attending the meeting) have voted in favour of converting the fund to the DTC Real Estate Investment Trust (DTCREIT).
The Dusit Thani Freehold and Leasehold Property Fund (DTCPF) will now undergo The Security and Exchange Commission Thailand's (SEC) REIT inception process, which is expected to complete by December this year.
The process of conversion, dissolution, and liquidation will include the following steps: (1) Dusit Thani Properties REIT Co., Ltd. (a subsidiary of DTC) applies for approval to act as the REIT Manager. (2) Dusit Thani Properties REIT Co., Ltd. applies for the right to issue and sell the trust units. (3) Upon approval from the SEC to establish DTCREIT, the REIT Manager will issue and sell the trust units of DTCREIT in exchange for the Cash, Assets and Liabilities of DTCPF. (4) Dissolution and liquidation of DTCPF, the delisting of DTCPF investment units from the Stock Exchange of Thailand (SET), and listing DTCREIT trust units as listed securities on the SET.
Ms Suphajee Suthumpun, Group Chief Executive Officer, Dusit Thani Public Company Limited, said the unitholders' decision to convert DTCPF to DTCREIT will facilitate Dusit's three-year strategy for sustainable and profitable growth, which includes strengthening the group's foundations in five areas: personnel development, process improvement, IT upgrades, property improvement, and enhancement of financial capacity.
"An REIT allows for greater growth potential because there are less financial restrictions, especially when it comes to borrowing money for property improvement," said Ms Suthumpun. "This greater flexibility will enhance our financial strengths and give us better access to financial resources to upgrade our existing properties, acquire new properties, and diversify our lines of business by exploring new investment opportunities."