Asset-heavy property groups may take the privatisation route

Singapore

AS the Covid-19 pandemic continues to ravage the UK, hotels are suffering, particularly in London, which is missing international visitors. Unsurprisingly, Singapore-listed GL Limited, whose core business is owning and operating 13 hotels in London, reported a loss for the half year ended Dec 31, 2020 last week.

Surprisingly, almost immediately on the back of the results announcement in which GL's board said it expects to continue to face a difficult operating environment in 2021, GL's largest shareholder made an offer to take it private last Friday.