The merger of the two real estate investment trusts (Reits) is set to become effective by April 22, with key dates outlined for unitholders’ entitlements and transactions
ESR Funds Management, the manager of ESR-Reit, has disclosed an indicative timeline for the merger between ESR-Reit and Ara Logos Logistics Trust. The merger is expected to become effective on April 22, following a court hearing scheduled for April 18.
In preparation, the transfer books and registers for unitholders of both ESR-Reit (J91U) and Ara Logos Logistics Trust (K2LU) will close at 5 pm on April 21. This closure will determine the entitlements of unitholders to their respective clean-up distributions for the period from January 1 until the day before the merger’s effective date.
Trading of Ara Logos Logistics Trust units on the Singapore Exchange will cease on April 19, while ESR-Reit units will begin trading on an “ex-distribution” basis on April 20. The following week, on April 28, unitholders of Ara Logos Logistics Trust will receive both cash and units in the newly formed merged entity, ESR-Logos Reit, which will also start trading on that same day.
For every unit of Ara Logos Logistics Trust, unitholders are entitled to 9.7 Singapore cents in cash and 1.7729 ESR-Reit units. As of market close on April 12, the units of ESR-Reit and Ara Logos Logistics Trust traded flat at S$0.415 and S$0.825, respectively.
