Metro forms strategic tie-up with Daiwa House Industry for investments

Tay Peck Gek

Published Wed, Jan 12, 2022 · 08:49 PM

METRO Holdings M01 : M01 0% has formed a strategic tie-up with Japanese real estate player Daiwa House Industry to deepen investment collaboration in various asset classes, following the Singapore-listed group's S$41.3 million investment in Daiwa House Logistics Trust for a 7.65 per cent stake.

The property player, in a regulatory filing on Wednesday (Jan 12), announced that it had executed a memorandum of understanding with Tokyo-listed Daiwa House Industry for investment collaboration.

The parties will initially focus on logistic facilities, commercial facilities, housing or any other asset class in Japan, Singapore and the Asia-Pacific region, but may include other regions.

This follows Metro's investment in Daiwa House Logistics Trust DHLU : DHLU 0% (DHLT), a real estate investment trust sponsored by Daiwa House Industry and listed in Singapore last November.

Metro chief executive officer Yip Hoong Mun said: "Metro is a cornerstone investor in DHLT. This marks our first collaboration and partnership with Daiwa House. This is in line with the Metro group's overall investment strategy of continued diversification for resilience for sustainable recurring income, particularly in the strategic sectors and countries where we see long-term growth, and together with experienced partners."

Metro shares closed S$0.005 or 0.7 per cent lower at S$0.75 on Wednesday.