SEE: PhillipCapital positive on ART as it expands investment strategy with new asset class
The entire sale amount will be paid in cash. Following the divestment, the existing management agreement with the manager of the property, Ascott Property Management (Shanghai), a wholly-owned subsidiary of The Ascott Limited, will be terminated. A termination compensation will be paid to the manager. Completion is expected to take place in 2Q2021. On a pro forma basis, distributable income would have been $91.3 million after the sale in FY2020, down from $94.2 million. Distribution per stapled security (DPS) would have stood at 2.94 cents after the sale, from 3.03 cents.