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Straits Trading to acquire Australian logistics properties for A$40m
PROPERTY firm Straits Trading Company on Tuesday said that it plans to subscribe for A$40 million (about S$39.3 million) worth in trust units that would allow it to acquire a portfolio of logistics properties across Australia.
The ILP No 1 Trust, through its indirect wholly owned subsidiaries, owns a distribution facility in Port Adelaide, South Australia. It will also be assigned a land sale contract for the acquisition of a freehold redevelopment property located in Kilkenny, South Australia. Straits Trading will be purchasing 80 per cent of the issued units in the trust.
The firm said that this was in line with its strategy of redeploying capital from its existing property portfolio of high quality but low-yielding investment properties, into potentially higher-return real estate opportunities.
Shares of Straits Trading closed unchanged at S$2 on Tuesday.