Singapore-listed retail and office REIT, Suntec REIT (SGX:T82U), announced on 7 March that it has exercised the right to redeem SGD5 million in aggregate principal amount from the SGD280 million 1.4% convertible bonds due 2018.

This after holders of SGD275 million in aggregate principal amount of the convertible bonds, representing 98.2% of the outstanding SGD280,000,000 in aggregate principal amount, exercised their put option.

“The convertible bonds which will be redeemed on 18 March 2016 at principal amount plus interest accrued to the date of redemption will be cancelled thereafter”, said the REIT.

“The redemption of the convertible bonds pursuant to the put option will be funded in cash from internal resources and is not expected to have any material impact on the cash flow of Suntec REIT”, it added.

Units of Suntec REIT ended the trading day 1.1% lower from its previous close on the Singapore Exchange to finish at SGD1.69.