The manager of Keppel Pacific Oak US REIT (KORE) says the REIT’s trustee, Perpetual (Asia) Limited, has secured a US$50 million ($67.34 million) loan facility.
The facility contains conditions where a mandatory prepayment event may occur if the trustee-manager of KORE resigns or is removed as a manager and if the replacement manager is not appointed in accordance with the terms of the trust deed.
Additionally, the conditions include the event that the replacement of the trustee-manager is not a direct or indirect wholly-owned subsidiary of Keppel and its subsidiaries, such as Pacific Oak Capital Advisors LLC and KORE Pacific Advisors.
Should any prepayment event occur, the aggregate level of the facility and existing outstanding borrowing of KORE that may be affected stands at approximately US$790 million.
Shares in Keppel Pacific Oak US REIT closed 8 US cents lower, or down 5.16%, at US1.47 on Dec 4.
