The Reit&rsquo s manager did not disclose what the proceeds from the loan will be used for

 

MAPLETREE Pan Asia Commercial Trust (MPACT) has obtained a HK$1 billion (S$169.8 million) term loan facility, its manager said on Friday (Aug 23).

 

The facility is guaranteed by DBS Trustee in its capacity as the real estate investment trust&rsquo s (Reit) trustee. The Reit&rsquo s manager did not disclose what the proceeds from the loan will be used for.

 

In a bourse filing, the manager said that the facility contains conditions where a mandatory prepayment event may occur.

 

These conditions include the resignation or removal of the manager without prior consent from the facility&rsquo s lender the appointment of a replacement manager not in accordance with the Reit&rsquo s trust deed terms and the occurrence that the replacement manager is not a direct or indirect wholly owned subsidiary of the Reit&rsquo s sponsor, Mapletree Investments.

 

If a prepayment event occurs, the aggregate level of the facility, assuming it is fully drawn down, and MPACT&rsquo s outstanding borrowings that may be affected is about S$5.9 billion, excluding interest.

 

At the time of the announcement, the Reit&rsquo s manager said none of these conditions has been breached.