ESR-Logos Real Estate Investment Trust (Reit) : J91U 0% has obtained its first sustainability-linked loan worth S$200 million.
The unsecured revolving credit facility agreement is guaranteed by Perpetual (Asia) in its capacity as the trustee of ESR-Logos Reit. It is due to mature two years from its first utilisation date.
The Reit manager said on Thursday (Mar 28) that the loan amount will be used for general corporate funding purposes including, but not limited to, the refinancing of existing debt, the improvement of its existing assets and asset acquisition.
Lenders for the agreement include RHB and the Singapore branches of CIMB, Maybank, Sumitomo Mitsui Banking Corporation and HSBC.
Units of ESR-Logos Reit closed up S$0.01 or 3.4 per cent at S$0.30 on Wednesday.
In February, the manager indicated that the Reit was looking to deploy some S$700 million for investments as it seeks both organic and inorganic growth in 2024.
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ESR-Logos Reit eyes acquisitions for growth in 2024 as it looks to deploy S$700 million of capital
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Its chief executive Adrian Chui also noted a stabilising interest rate environment at the time.
For its second half ended Dec 31, 2023, the Reit posted a distribution per unit of S$0.01186, down 23 per cent from S$0.0154 the year before, due to lower income and an enlarged unit base.