ESR-Reit, ALog Trust object to proxy advisors' criticism of process in proposed merger

THE managers of ESR-Reit and Ara Logos Logistics Trust (ALog Trust) have hit back at criticism over the lack of transparency in their processes leading up to the proposed merger of the 2 real estate investment trusts (Reits).

This comes after proxy advisory firms Institutional Shareholder Services (ISS) and Glass Lewis raised concerns about the deal process. Both also recommended that unitholders of ALog Trust vote against the proposed merger.

ESR-Reit and ALog Trust have proposed a scheme of arrangement that would see ESR-Reit's trustee buy all the units of ALog Trust for a scheme consideration of S$0.97 per ALog Trust unit.