Daiwa House Trust Makes Maiden Acquisition

News about Daiwa House Logistics Trust

Daiwa House Logistics Trust is making its first acquisition by purchasing two freehold logistics properties from its sponsor, along with a piece of land:

The aggregate purchase consideration for the Proposed Acquisition is JPY 4,676.0 million (S$47.7 million) (“Aggregate Purchase Consideration”), which is 11.8% lower than the average appraised value of the Target Portfolio of JPY 5,301.5 million (S$54.1 million) (“Aggregate Appraised Value”). The total acquisition cost of the Proposed Acquisition including acquisition and transaction-related expenses, shall be financed by a combination of bank borrowings and subscription of units in DHLT (“Units”) by the Sponsor amounting to JPY 1.25 billion.

The trust expects the operation to be yield accretive.

Daiwa House Logistics Trust
Price0.640 SGD
NAV0.770 SGD
Yield (2 quarters)8.13%
Gearing34.0%