The REIT will undergo internalisation without the involvement of a sponsor.

Sabana Industrial REIT has recommended Chew Tuan Chiong, Chun Ming Jimmy Chan, and Sandip Talukdar as director candidates for the REIT once it becomes internally managed without a sponsor.

Unitholders of the REIT questioned the trustee's decision as conflicts related to the candidates emerged.

Chew has been cited to be in favor of an external manager model which conflicts with the REIT's transition into an internally managed REIT.

The trustee, however, said that Chew's experience and track record in managing and overseeing REITs was considered to meet the criteria set for the search process.

"Dr. Chew showed an open-mindedness towards an internalised management model, given precedents in other jurisdictions where internalised REITs have been successful," the trustee said.

The unitholders also raised concerns regarding Chan's investigation by the Hong Kong Securities and Exchange Commission (HK SFC) when his company, Maxsen Capital, promoted itself as carrying on regulated activities in Hong Kong for about six years when the regulator did not give them the approval to do so.

Chan resigned from Maxsen Capital during the investigation in 2016 and was not reprimanded for his actions.

The trustee cited Chan's response to HK SFC's investigation stating that "Maxsen Group made regulatory submissions and amendments to its website to better reflect the group's business and scope of services.
Following Maxsen's submissions, and considering all the circumstances in this case, the HK SFC concluded that no formal enforcement action was necessary and that the HK SFC did not propose to take any further action against Maxsen."

Meanwhile, the unitholders questioned Talukdar's ability to contribute positively to the REIT following his dismal performance as LMIRT's director where the share price lost 90% of its value during his tenure.

Talukdar responded by stating that he met the criteria set by the trustee. "Unitholders should refer to the complete detailed experience outlined in the Circular when making a decision," Talukdar said.

The REIT will hold an extraordinary general meeting (EGM) at Hope@New Tech Park on Friday, 18 October at 10:10 am.