KUALA LUMPUR (Dec 29): YTL Starhill Global REIT Management Ltd, the manager of Singapore-listed Starhill Global Real Estate Investment Trust (Starhill Global REIT), announced that the property trust’s trustee HSBC Institutional Trust Services (Singapore) Ltd has entered into a five-year S$550 million (about RM1.68 billion) unsecured loan agreement with various banks to refinance existing bonds and bank borrowings and fund working capital requirements.

In a statement to the Singapore bourse yesterday, YTL Starhill Global REIT Management said the S$550 million comprises term loan facilities of S$250 million and revolving credit facilities of S$300 million.

"As part of the manager’s proactive capital management strategy, the term facilities will be used to refinance the S$100 million unsecured medium term notes upon maturity on Feb 26, 2021 and the S$150 million unsecured term loan ahead of its maturity on Sept 16, 2021. 

"The revolving credit facilities will be available for working capital requirements and/or general corporate funding purposes of Starhill Global REIT, of which the committed portion will replace the existing S$190 million committed revolving credit facilities expiring in September 2022. 

"The above utilisations of the term facilities, as well as the cancellation of the existing unsecured S$190 million committed revolving credit facilities (the refinancing) are expected to take place in February to March 2021. Following the refinancing, the above transaction is not expected to have a material impact on the gearing of Starhill Global REIT,” YTL Starhill Global REIT Management said.

YTL Starhill Global REIT Management, however, did not specify the name of the banks which offered the S$550 million loan to Starhill Global REIT.

According to Starhill Global REIT’s website, YTL Starhill Global REIT Management is a wholly-owned subsidiary of YTL Starhill Global REIT Management Holdings Pte Ltd, which is in turn an indirect subsidiary of YTL Corp Bhd.

YTL Starhill Global REIT Management said on the website that since the listing of Starhill Global REIT on the Singapore bourse on Sept 20, 2005, the property trust had grown its initial portfolio from interests in two properties on Orchard Road in Singapore to 10 properties across Singapore, Australia, Malaysia, China and Japan.

In Malaysia, Starhill Global REIT owns The Starhill and Lot 10 Property in Kuala Lumpur, the website shows.

Starhill Global REIT’s global real estate assets were collectively valued at about S$2.94 billion as at June 30, 2020, according to YTL Starhill Global REIT Management.

On Bursa Malaysia today, YTL Corp’s share price settled down 0.5 sen or 0.64% at 78 sen at the 12:30pm break for a market capitalisation of about RM8.6 billion.

YTL Corp’s latest reported number of issued shares stood at 11.02 billion units.

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