SG Morning Highlights | Manulife US Reit Reports Decreased H1 Income, Pauses Distributions Amid Restructuring

Singapore shares opened lower on Monday. The $FTSE Singapore Straits Time Index (.STI.SG)$ dropped 3.56 percent to 3261.04 as at 9:11 am.

$ManulifeReit USD (BTOU.SG)$: Manulife US Reit has seen a 27.5% decrease in H1 FY2024 distributable income per unit to US$0.0129 due to increased finance expenses from higher interest costs, resulting in gross revenue and net property income declines. The Reit is suspending distributions until end-2025 for recapitalisation and restructuring, with a current gearing ratio at 60%, and has initiated asset sales to improve returns, with promising interest from potential buyers.

$Dasin Retail Tr (CEDU.SG)$: A group of requisitionists is accusing Dasin Retail Trust Management of failing to arrange an extraordinary general meeting (EGM) within the required timeline as per the Business Trusts Act. In response to this alleged breach, the requisitionists plan to conduct the EGM themselves before September 20 and claim the associated costs from the trustee-manager, which won't be covered by the trust property. The requisitionists, holding approximately 12.57% of the total voting rights, are seeking to amend the trust deed to restrict the trustee-manager's power and to remove and appoint a new adviser for financial restructuring. Dasin Retail Trust Management, on its part, has requested to hold the EGM by the end of September, noting the need for the bourse operator's approval for trust deed amendments and adherence to listing rules. They have ensured cooperation with the requisitionists to organize the EGM, pledging to cover any reasonable expenses.