MCT, MNACT to Offer All-cash option of in Proposed Merger

The managers of Mapletree Commercial Trust (MCT) and Mapletree North Asia Commercial Trust (MNACT) are offering MNACT unitholders the entire consideration of S$1.1949 per unit, in a new cash-only scheme. This is a change as compared to its previous scheme when the S$ 4.2bn ($3.1bn) merger proposal of MCT and MNACT was announced. At that time, the consideration for each MNACT unit comprised either 0.5963 new units in MCT or a combination of 0.5009 consideration units and S$0.1912/share in cash. The managers said that the cash-only scheme will provide MNACT unitholders “greater flexibility to elect the form of scheme consideration that is most suited to their investment needs”. To fund the additional cash requirement of up to S$2.2bn ($1.6bn) in the new scheme, MCT will also make a preferential offering of S$2.0039 per unit. Mapletree Investments, the sponsor of both MCT and MNACT, has provided an undertaking to subscribe up to S$2.2bn ($1.6bn).

MCT’s SGD 3.11% 2026s were flat at 101.56, yielding 2.73% and MNACT’s SGD 3.5% Perp was also flat at 96.90, yielding 4.31%.

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