Bualuang Office Leasehold Real Estate Investment Trust : Notification for the adjournment of the REIT's additional assets (No. 1) of Bualuang Office Leasehold Real Estate Investment Trust
August 15, 2022 at 07:53 am EDT
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No 1405 / 2022
August 15, 2022
Re:
Notification for the adjournment of the REIT's additional assets (No. 1)
of Bualuang Office Leasehold Real Estate Investment Trust
To:
The President
The Stock Exchange of Thailand
According to the resolution of the trust unitholders on April 27, 2021, resolved to approve the agenda regarding to the Bualuang Office Leasehold Real Estate Investment Trust ("B-WORK") acquisition of the Bangkok Business Center Project ("the REIT's additional assets No. 1") and use the source of fund from capital raised from the issuance and sale of additional trust units and long-term loan from financial institutions and/or issuance and sale of the debentures. BBL Asset Management Company Limited, acting as a REIT Manager, has submitted a public offering application to the Securities and Exchange Commission ("SEC") and the application was effective on 29 September 2021 (the first date of counting the Filing). Regarding to the regulation, the REIT Manager must complete the offering of trust units within 6 months from the first effective date, otherwise the REIT Manager can submit the request for an extension of the offering period of the capital increase trust units for further 6 months. Thus far, the REIT manager has already submitted the request for an extension of the offering period which prolonged the completion date of the offering of trust units to September 28, 2022.
However, the negative impact from the spread of the Coronavirus Disease 2019 ("COVID-19") caused a significant change in both domestic and international capital markets. The government bond yield has risen considerably since the beginning of 2022. The current expected rate of return of investors, thereby, may differ from the period of the registration statement for the filing effective version, along with the market conditions of office buildings for rent and the REIT's additional assets No. 1 are currently in the process of recovering from the impact of COVID-19.
Therefore, for the maximum benefits of B-WORK and the trust unitholders, the REIT Manager considers adjourning the issuance and sale of additional trust units and investment in the REIT's additional assets No. 1 until the office building market is in an appropriate condition and in line with the rationale expected rate of return of the investors. The REIT manager will consider information and inform the trust unitholders in the relevant approval request matters via the digital platform of the Stock Exchange of Thailand.
Please be informed accordingly.
Sincerely Yours,
(Mr. Pornchalit Ploykrachang)
Deputy Managing Director
Real Estate & Infrastructure Investment
Tel. 0-2674-6400 Ext. 561-563
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Bualuang Office Leasehold Real Estate Investment Trust published this content on 15 August 2022 and is solely responsible for the information contained therein. Distributed by Public, unedited and unaltered, on 15 August 2022 11:52:08 UTC.
Bualuang Office Leasehold Real Estate Investment Trust (the Trust) is a Thailand-based real estate investment trust. The Trustâs objectives are to raise funds from investors and use funds to invest in the leasehold properties by lease and/ or sublease under two projects, including True Tower 1 Project and True Tower 2 Project. The Trustâs main operations are derived from rental and service income from investing in properties and leasehold rights, seeking the benefits from properties, and properties for rent. The Trust operates in Thailand. The types of investments in its two projects include leasehold rights on land, office buildings and its component parts, including leasable areas, common areas and parking areas tool, fixtures, equipment and utility systems. True Tower 1 Project is an office building consisting of 36 storey with one ground level. True Tower 2 Project operates as the office building for lease to True Group and CP Group companies.
Bualuang Office Leasehold Real Estate Investment Trust : Notification for the adjournment of the REIT's additional assets (No. 1) of Bualuang Office Leasehold Real Estate Investment Trust