Bangkok--11 Dec--SET Corporate Communications
The Stock Exchange of Thailand (SET) will list Bualuang K.E. Retail Leasehold Real Estate Investment Trust, established from the conversion of Crystal Retail Growth Leasehold Property Fund (CRYSTAL) and an additional investment in community malls and commercial properties, with a total asset value of THB 11.40 billion (approx. USD 367.6 million) on December 12, 2019, under the ticker symbol "BKER".
SET Senior Executive Vice President Manpong Senanarong said that BKER would list and start trading under Property & Construction industry, Property Fund & REITs sector.
BKER will invest in the leasehold rights, with an average 28-year term, of 10 community malls located in Bangkok and greater Bangkok while some being transferred from CRYSTAL. The 10 community malls comprise Crystal Design Center, The Crystal Ekamai-Ramindra, The Crystal SB Ratchapruek, Amorini Ramintra, I'm Park, Plearnary Mall, Sammakorn Place Ramkhamhaeng (West), Sammakorn Place Rangsit, Sammakorn Place Ratchapruek, and The Scene Town in Town. BKER will become the first REIT that has co-REIT managers - K.E. REIT Management Co., Ltd. with over 12 years' experience in community mall property development and management; and BBL Asset Management Co., Ltd., with expertise in REIT management.
BKER allotted 390 million units for conversion of CRYSTAL's unit at a swap ratio of 1:1 and another 484.1 million units for investment in new properties, for a total of 874.1 million units, at THB 9.60 each, to CRYSTAL's unitholders who have rights to subscribe to the REIT's units, those related to the REIT managers, sellers of the properties, as well as general public. Bangkok Bank pcl is financial advisor and lead underwriter.
K.E. REIT Management Co., Ltd. Director Kavin Eiamsakulrat said the 10 properties' leasehold right term averages 28 years and all of them have been operated for an appropriate period of 5-10 years, with the average occupancy rate of 94 percent, quality tenants and prime location in densely populated areas. With various locations in Bangkok and greater Bangkok and diverse group of customers, the REIT's can minimize the risk of reliance on any particular target group. K.E. REIT Management, which is a co-REIT manager, will be responsible for property management and may consider appointing other property managers to manage property projects on a case-by-case basis for management efficiency and effectiveness.
BKER's dividend policy is to pay no less than 90 percent of the adjusted net profit of its financial year at least twice a year. Major unit holders after its IPO are Benjakij Development Co., Ltd. (15.52 percent), Social Security Office (12.97 percent), and Kiat Friendship Co., Ltd. (4.46 percent).
For more information on BKER, please see the REIT's prospectus at the Securities and Exchange Commission's website atwww.sec.or.th ; and for general information, please visit www.bkerreit.com , as well as www.set.or.th .