Hong Kong's ESR Group to spin-off logistics assets in $289.2 mln REIT offering

ESR

09/12/2024 23:27

Dec 10 (Reuters) - Hong Kong-based ESR Group  1821.HK  said on Tuesday it will raise
gross proceeds of about 2.10 billion yuan ($289.24 million) from the proposed spin-off and
listing of its Jiangsu Friend logistics projects.
    In December 2022, the real estate company proposed that its logistics assets be spun off and
listed separately on the Shanghai Stock Exchange as a publicly traded infrastructure securities
investment fund.     
    The REIT offering is priced at 2.628 yuan per unit. 
    The assets, which consist of three logistics projects located in the Jiangsu Province, are
currently owned by ESR through Jiangsu Friend Warehouse.
    ESR, which earlier this month received an offer from a consortium to take it private for
HK$55.19 billion ($7.10 billion), will own not less than a 39.37% and up to a 41.42% interest in
the listed entity upon completion of the deal, it said.

($1 = 7.2604 Chinese yuan renminbi)


($1 = 7.7741 Hong Kong dollars)

 (Reporting by Adwitiya Srivastava in Bengaluru; Editing by Alan Barona)
 ((Adwitiya.Srivastava@thomsonreuters.com))