Fraser's Commercial Trust's China Square, SingaporeFraser's Commercial Trust's China Square, Singapore

Singapore-listed office landlord Frasers Commercial Trust (FCOT) (SGX:ND8U) has filed an announcement with the SGX notifying unit holders that is has issued 9,372,4071 new units in the REIT. The new units were issued pursuant to the conversion of 11,101,787 Series “A” Convertible Perpetual Preferred Units (CPPUs) based on a conversion price of S$1.1845 per conversion unit.

Frasers Commercial Trust holds a portfolio of office properties across Australia and Singapore

Converted units have been credited to the securities accounts of the relevant Series A CPPU unit holders in such number as had been notified to the relevant Series A CPPU Holders following their successful exercise of their right of conversion of the Series A CPPUs.

Frasers Commercial Trust has clarified that the converted units are not entitled to any distributions which may be declared by the REIT in respect of the period from 1 July 2013 to 30 September 2013. These units have also been allocated a separate stock counter on the SGX identifiable with the name Frasers Comm A and stock code of T3U.

The date for the merger of this separate stock counter with the main counter for the ordinary units in Frasers Commercial Trust will be announced at a later date. We will be analysing the impact of the CPPUs on the projected performance of Frasers Commercial Trust in the next issue of REITSWEEK.

Units of Frasers Commercial Trust closed the day slightly lower by about half a percentage point at S$1.25 on the SGX.

By Ridzwan Rahmat

Ridzwan has been analysing REITs and business trusts since 2008, and personally manages a portfolio comprising mainly of SGX-listed REITs. He founded REITsWeek in 2013.