Cuscaden Peak, a consortium comprising Hotel Properties (HPL), Mapletree Investments and CLA Holdings announced on Nov 21 that its has received regulatory approvals for the Cuscaden Scheme from the Monetary Authority of Singapore (MAS) and the Info-Communications Media Development Authority (IMDA), moving the consortium closer to the expeditious tabling of the Cuscaden Scheme to Singapore Press Holdings' (SPH) shareholders.

The regulatory approvals permit the change in control of SPH REIT's manager, and the acquisition of the effective control of the manager of Prime US REIT, as well as the acquisition of an indirect interest in M1 should SPH shareholders vote for the Cuscaden scheme.


See: Far East Hospitality Trust, Hotel Properties emerge top picks amid regional hospitality rebound


The clearance from the Foreign Investment Review Board (IFRB) under the Australian Foreign Acquisitions and Takeovers Act 1975 remains outstanding. 

Cuscaden's offer for SPH's shareholders provides them to elect either all cash at $2.36 per SPH share, or $1.602 in cash, and 0.782 units in SPH REIT (priced at $1.02), worth a total of $2.40 This is valued at more than Keppel Corp's scheme of $2.351 per share, comprising $0.868 cash; 0.782 SPH REIT units and 0.596 Keppel REIT units per SPH share. 

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Subject to the independent Financial Advisor's opinion and in the absence of a Superior Competing Offer, the preliminary recommendation of the Independent Directors of SPH is that SPH shareholders vote against the Keppel  Scheme and vote in favour of the Cuscaden Scheme.

Picture : The Paragon by SPH REIT