Property developer Overseas Union Enterprise (OUE) has received approval from the Singapore Exchange (SGX) to list a hospitality-focused real estate investment trust (REIT).
In a filing with the SGX, OUE said the REIT manager plans to appoint real estate veteran Chong Kee Hiong as chief executive officer and executive director.
Mr Chong is the former CEO of The Ascott, the serviced apartment arm of property developer CapitaLand.
On May 13, OUE had said it planned to establish a REIT, which will include a hotel, Mandarin Orchard Singapore, and its adjoining Mandarin Gallery shopping mall.
OUE – controlled by Indonesia’s Lippo Group – did not reveal details about the size and timing of the initial public offering (IPO) for the proposed OUE hospitality REIT.
But according to reports, the hotel REIT is expected to raise US$700 million to US$800 million, making it Singapore’s third-biggest IPO this year. The deal is expected to be priced in early July, with the proposed listing later in the month.
Source : Channel NewsAsia – 5 June 2013