Sabana Reit requisitionists dismiss trustee’s proposal, will proceed with EGM
They will not change the amended resolutions as they believe these ‘provide clear directions’
THE requisitionists of Sabana Industrial Real Estate Investment Trust (Sabana Reit) will proceed with an extraordinary general meeting (EGM) to vote on the proposed internal manager directors.
This came days after the trustee, HSBC Institutional Trust Services, asked the requisitionists to postpone the EGM and to withdraw their amended resolutions as they lack clarity.
In a letter on Tuesday (Sep 17), the requisitionists said that they would hold the meeting by Oct 12. However, they noted that they are willing to delay the latest date for the meeting to Oct 19. This is to allow the candidates chosen by the trustee to be considered at the same EGM so as to save costs for unitholders, the requisitionists added.
“Sabana unitholders want to vote for the directors of the internal manager as soon as possible to support the trustee in implementing and completing the internalisation process,” they noted.
The elected directors will be subject to approval from the Monetary Authority of Singapore (MAS). Additionally, the requisitionists said that they will not change the amended resolutions as suggested by the trustee as they believe their resolutions “provide clear directions”. The revised resolutions included further directions for the trustee to obtain “the necessary certifications and declarations to be provided to MAS by the internal manager or otherwise”, in order to seek approval and carry out the appointment of the director candidate.
The trustee had previously pointed out that it is unclear what “certifications and declarations” refer to and who it should obtain them from. It also questioned whether such directions are actionable.
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It had also queried what “otherwise” in the amended resolutions referred to.
In response, the requisitionists said it is clear that the resolutions are “solely intended for the trustee to obtain whatever is necessary” to get MAS approval and appoint the director.
“It is also clearly stated that the above is conditioned on the director candidates submitting the necessary information and/or documents, and assuming full responsibility for the information and documents submitted,” they added.
In a bourse filing on Wednesday, the manager of Sabana Reit said that it will be discussing the next steps with the trustee.
Units of Sabana Reit were trading down 1.4 per cent or S$0.005 at S$0.365 as at 9.13 am on Thursday.
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