In a stock exchange filing late Wednesday night, the company says OUE Commercial Trust will buy the 36-storey Lippo Plaza in Shanghai from Hong Kong-listed Lippo China Resources.

Earlier, OUE has said that its commercial REIT will likely include OUE Bayfront, an 18-storey office building located at Collyer Quay.

The company added that the listing of the proposed OUE Commercial Trust is still subject to market conditions and various relevant approvals to be obtained.

Channel NewsAsia understands that banks involved in the IPO (initial public offering) deal include Standard Chartered Bank and OCBC Bank.

Source : Channel NewsAsia – 17 Oct 2013

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The initial portfolio of the proposed REIT is expected to include OUE Bayfront, an 18-storey office building at Collyer Quay, as well as commercial properties owned by Lippo China Resources, the company said in a filing to the exchange.

It has not decided on the size and time-frame for the offering, it added.

The announcement comes exactly two months after the company’s hospitality REIT was listed on the main board of the SGX.

OUE Hospitality Trust, which owns the five-star Mandarin Orchard hotel and the adjoining Mandarin Gallery shopping mall, had raised S$600 million in its initial public offering.

The announcement also comes as OUE, stung by its failure to buy out Singaporean conglomerate Fraser and Neave earlier this year, seeks to diversify its predominantly Singaporean portfolio with acquisitions in United States cities such as New York, Los Angeles and San Francisco.

In March, the company bought the US Bank Tower, the tallest building in Los Angeles and some related properties for US$367.5 million (S$461 million).

OUE is controlled by Executive Chairman Stephen Riady, son of Mr Mochtar Riady, who controls Indonesia’s Lippo Group. Lippo’s businesses across Asia include real estate, financial services and food.

Source : Today – 26 Sep 2013

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The company will offer 434.6 million shares to the public and institutions, and an additional 247.2 million to cornerstone investors at S$0.88 to S$0.90 apiece, it stated.

The initial portfolio for the trust, structured as a stapled security, comprises five-star Mandarin Orchard hotel and the adjoining Mandarin Gallery shopping mall.

OUE Hospitality Trust aims “to maintain and grow an investment portfolio of hospitality and hospitality-related assets primarily in Singapore, and to extend the portfolio to include other places where suitable opportunities arise,” it said in the prospectus.

It added that it had secured five cornerstone investors, including Credit Suisse, Singapore-based invested holding company Lucille Holdings and Cayman Island-registered fund Splendid Asia Macro Fund.

REITs and business trusts were the biggest fund-raisers in Singapore’s initial public offering market in the past year, raising 67 per cent of the US$6.2 billion (S$7.9 billion) of stock priced, according to Bloomberg data.

The announcement by OUE comes a day after Singapore Press Holdings filed its prospectus to raise up to S$504 million in an initial stock sale of its retail assets.

The two planned IPOs indicate that companies are gaining confidence in their ability to tap the equities market, which faced a severe sell-down last month after the United States Federal Reserve said it may start winding down its bond-buying programme later this year.

OUE Hospitality had previously delayed its IPO due to weak markets.

The announcement also comes as OUE, stung by its recent failure to buy out Singaporean conglomerate Fraser and Neave, seeks to diversify its predominantly Singaporean portfolio with acquisitions in US cities, such as New York, Los Angeles and San Francisco.

In March, the company bought the US Bank Tower, the tallest building in Los Angeles and some related properties for US$367.5 million.

OUE’s REIT will offer a yield of up to 7.2 per cent, based on earnings projections for 2013, and 7.5 per cent for 2014, it said in the prospectus. This compares with SPH’s REIT, which will offer a yield of as much as 6 per cent, based on fiscal 2014 projections.

Credit Suisse, Goldman Sachs and Standard Chartered are joint global coordinators and issue managers for OUE’s REIT.

Source : Today – 11 July 2013

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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

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In a filing with the SGX on Thursday, OUE confirmed that it is in “preliminary discussions” with banks.

But the property developer added that details such as the properties to be injected into the REIT, the pipeline assets of the REIT, size of the offering and timeframe are under review.

Earlier reports had speculated that OUE, which owns commercial properties and hotels, was planning a listing of a hospitality REIT in the second half of the year.

OUE’s hotel properties include Mandarin Orchard Singapore, Marina Mandarin Singapore, Crowne Plaza Changi Airport Hotel, Meritus Pelangi Beach Resort & Spa Langkawi, Meritus Mandarin Haikou and Meritus Shantou China.

Source : Channel NewsAsia – 21 Mar 2013

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OUE could launch an initial public offering for a hospitality-focused real-estate investment trust (REIT) in the third quarter of the year, the sources said, according to the report.

A spokeswoman for Overseas Union confirmed to Dow Jones that the company is considering listing at least two of its Singapore assets through a REIT. The five-star Mandarin Orchard hotel and the adjoining Mandarin Gallery shopping mall are the main candidates for the REIT’s initial portfolio, while the Crowne Plaza Changi Airport hotel could also be added, she said.

“The REIT option is a good way for us to unlock value in those properties while retaining control over the assets,” said the spokeswoman, who declined to be named.

Source : Today – 27 Feb 2013

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The conglomerate said the S$1.4 billion (US$1.1 billion) offer is unrelated to any director or substantial shareholder of F&N.

Last month, TCC Assets, which is linked to Thai Beverage, offered S$8.88 a share for the entire F&N business, valuing the company at S$10.3 billion.

F&N said its serviced-residence and hospitality business, which covers some two dozen Fraser Suites and Residences across Asia, is an integral part of the company.

It added the company is constrained from undertaking the sale while TCC’s bid is active.

F&N also said in a stock filing that it it will not respond to third party offers, without identifying the bidder.

Sources close to the matter have however named Overseas Union Enterprise Ltd, in the hospitality bid.

OUE which is a Singapore hotel and property firm backed by Indonesia’s Lippo Group, has a portfolio that includes luxury residential development Twin Peaks, the Mandarin hotels in Orchard and Marina Bay as well as office blocks along Marina Bay and Raffles Place.

Source : Channel NewsAsia – 10 Oct 2012

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In a filing on the Singapore Exchange on Wednesday, OUE said it has offered an unnamed potential buyer exclusivity to conduct preliminary due diligence on the two properties.

The developer added that it is uncertain if any transaction will be concluded at this stage.

According to media reports, Mandarin Orchard Singapore was valued at S$1.18 billion, while Mandarin Gallery was valued at S$520 million as at the end of 2011.

Reports of the potential sale sent OUE’s share price up by some 10 per cent on Wednesday morning to its highest level in over a year.

Source : Channel NewsAsia – 19 Sep 2012

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Revenue for Q2 was up by 33.8 per cent to some S$96.7 million, compared to the previous year.

In a stock exchange filing, OUE said the increase in revenue was mainly driven by the hospitality and the property investment divisions.

The hospitality division achieved a total revenue of S$57.6 million, compared to S$44.6 million in the previous year.

Meanwhile, revenue from investment properties amounted to S$34.4 million for Q2 2012, up from S$25.6 million in Q2 2011.

The increase was largely due to contribution from OUE Bayfront where occupancy rate has increased as compared to 2011.

As at June 30, 2012, OUE Bayfront has a committed occupancy rate of 85.9 per cent, while OUE Tower and OUE Link are fully leased out.

During the quarter, OUE also recorded higher marketing expenses, administrative expenses as well as finance expenses.

On the outlook ahead, OUE said its hospitality business in Singapore is expected to benefit if the current growth in visitor arrivals is maintained.

OUE added that it will continue to focus on active lease management to maximise returns from its office and retail properties, which currently enjoys healthy occupancy.

On its residential property business, OUE said it will continue to drive the sale of its development project, Twin Peaks, a residential development property at Leonie Hill.

Source : Channel NewsAsia – 7 Aug 2012

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Among the plans, OUE will be developing a five-storey retail mall at the existing DBS Building at Shenton Way, according to a source close to the matter.

Built in 1975, DBS Building at Shenton Way will soon be home to a new shopping mall, spanning some 170,000 square feet.

According to a source familiar with the plans, OUE is expected to spend over S$100 million to build the new mall.

It is slated to open in mid-2014, and the mall will offer retail and F&B options as well as a supermarket.

Analysts said a retail development will support an increasing residential population in the downtown area.

Donald Han, special advisor, HSR, said: “On the size of 170,000 (square feet) you would probably expect rents on average of about S$13 – 16 per square foot. Because this is still a new market place, it certainly has more upturn, upside in the next two to three years especially when most of the residential and hotel components are fully in place.”

OUE acquired DBS Building in 2010 for about S$871 million. The podium level will be converted to a shopping mall, but it appears that the developer is keeping the two office towers and it is currently looking for tenants.

Existing anchor tenant DBS Bank is expected to move out of both office towers by year-end.

And it is likely that OUE could see some rental upside when it leases the office space to new tenants.

Apart from the developments along Shenton Way, Channel NewsAsia understands that OUE will also refurbish the shopping mall at One Raffles Place.

Renovation work could start at the end of the year and it is expected to cost over S$40 million.

Source : Channel NewsAsia – 30 Jul 2012

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