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Shareholders Oppose Quarz $3B Singapore REIT Merger

 |  February 10, 2022

Activist investor Quarz Capital Management said it is opposed to the terms of a proposed $3.1 billion merger of two Temasek-linked Singapore real estate investment trusts, saying the target firm was significantly undervalued.

It is urging Mapletree North Asia Commercial Trust to negotiate an improved offer from Mapletree Commercial Trust (MCT), according to a Feb. 9 open letter reviewed by Reuters.

Quarz, which has previously been successful in blocking a Singapore REIT deal, says it and its affiliates hold stakes that rank them among the top 10 unitholders of MNACT.

“We note that Quarz acknowledges the deal rationale…and sees value in MNACT,” the manager of MCT said in a response to Reuters, but did not elaborate. It said the “merits” of the proposal were made in its joint announcement with MNACT.

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