Bangkok--2 Nov--SET
The Stock Exchange of Thailand (SET) will list Grande Hospitality Real Estate Investment Trust, a real estate investment trust (REIT) worth THB 1.76 billion (Approx. USD 50.14 million), on November 3, under the ticker symbol "GAHREIT".
SET Senior Executive Vice President Santi Kiranand said that GAHREIT would list and start trading on Property & Construction industry, Property Fund & REITs sector, on November 3, 2017. GAHREIT offered 175.5 million units at THB 10.00 each, for a total of THB 1.76 billion, to Grande Asset Hotels and Property pcl, institutional investors and general public during October 2-6, 2017. One Asset Management Ltd. is its REIT manager and underwriter in a best-effort offering. BBL Asset Management Co., Ltd. is its trustee, while Baker Tilly Corporate Advisory Services (Thailand) Ltd. is its financial advisor.
GAHREIT has invested in the freehold right of the Sheraton Hua Hin Resort & Spa - consisting of land with an area of 27 rai, 3 ngarn and 59 square wah (Approx. 10.88 acres), and 240 rooms. The hotel's occupancy rate over the past three years averaged 66.68 percent (2014-2016 at 64.69 percent, 71.74 percent and 63.80 percent, respectively) and the first six months of 2017 at 61.50 percent.
One Asset Management Chief Executive Officer Pote Harinasuta said that GAHREIT has invested in the Sheraton Hua Hin Resort & Spa, located in Cha Am beachfront which is a popular tourist destination and not far from Bangkok. The hotel has gained a competitive edge as it is equipped with full facilities including a 5,700-square meter lagoon-style swimming pool and large conference rooms for various functions. The potential in generating a steady flow of robust revenue combined with world-class hotel chain which management has extensive experience will firmly add investment value and yield good return to the REIT's unit holders in the long run.
GAHREIT's dividend policy is to pay no more than four times a year at no less than 90 percent of the adjusted net profit of its financial year. GAHREIT's three major unit holders after its IPO are 1) Social Security Office (19.37 percent), 2) Grande Asset Hotels and Property pcl (10.00 percent) and 3) Bangkok Life Assurance pcl and Thai Life Insurance pcl at 5.70 percent each.
For more information, please see GAHREIT's prospectus at the Securities and Exchange Commission's website at www.sec.or.th, and the trust's general information at www.one-asset.com, as well as www.set.or.th.