SINGAPORE (Oct 18): CapitaLand Mall Trust’s sale of Rivervale Mall to AEW Asia, announced on Oct 15 will net the REIT a gain of $72 million. However, from the perspective of CIMB, as this property makes up just 1% of its total portfolio, the brokerage is keeping its “add” call and target price of $2.37 for now.

The selling price of $190.5 million is at a 64% premium to the property’s book value. The deal is to be completed by Dec 15.

CIMB notes that proceeds from the sale will give it more financial flexibility to seek more value elsewhere, with its gearing dropping slightly to 36% from 37.4%.

To continue reading,

Sign in to access this Premium article.

Subscription entitlements:

Less than $9 per month
3 Simultaneous logins across all devices
Unlimited access to latest and premium articles
Bonus unlimited access to online articles and virtual newspaper on The Edge Malaysia (single login)

Related Stories

Stay updated with Singapore corporate news stories for FREE

Follow our Telegram | Facebook