SINGAPORE (May 23): CapitaLand Commercial Trust (CCT) has proposed to acquire the remainder 60% interest in Grade A office tower CapitaGreen for S$393 million.
CCT currently owns a 40% interest in units in MSO Trust, a special purpose sub-trust that holds CapitaGreen.
CapitaLand owns 50% interest in MSO Trust, while Mitsubishi Estate Asia (MEA) owns the remaining 10%.
CCT intends to exercise a call option to acquire the respective stake from CapitaLand and MEA, subject to the approval of the their unitholders.
Upon completion of the proposed acquisition, CCT will own 100% of CapitaGreen through MSO Trust.
As at March 31, 2016, CapitaGreen's occupancy was 92.8% with leases to expire only from 2018 onwards.
CCT ended flat at S$1.38 last Friday. – theedgemarkets.com