CapitaMall Trust Q1 distribution income up 8%

CapitaMall Trust (CMTL) reported a distributable income of S$62.6 million for the first quarter of 2009, an eight per cent increase year-on-year.

The company said Friday that shareholders can expect a distribution per unit of 1.97 cents for the three months ended March 31, to be distributed on the May 28.

CapitaMall added that the numbers were largely due to a retention of S$5.9 million, which includes S$2.6 million of distributable income from CapitaRetail China Trust.

The Trust said net proceeds from its recent rights issue to raise S$1.2 billion will be used to repay borrowings totalling S$956.2 million due in 2009.

James Koh Cher Siang, Chairman of CMTL said, ” The successful rights issue demonstrates investors confidence in CMT and the ability of S-REITs to recapitalise during this period.”

Earlier, CapitaMall announced that its rights issue was 1.16 times oversubscribed.

CapitaMall noted that so far, the gross revenue locked-in for 2009 exceeds 90 per cent of gross revenue for the entire 2008.

CapitaMall said that going forward, it will continue to actively manage its costs and work closely with tenants in the current environment.

Following the closure of its Jurong Entertainment Centre in November, the Trust said it will target to begin enhancements works by end of 2009 subject to market conditions.

It also aims to kick start its integration plan for The [email protected] and Plaza Singapura by the end of next year once the relevant approvals have been granted.

Source : Channel NewsAsia – 17 Apr 2009