AME REIT to acquire three industrial properties from AME Elite for RM100.8m

• AME Elite plans to allocate the majority of the proceeds towards further development of i-TechValley, as well as other industrial property projects and investments.

KUALA LUMPUR (March 25): AME Real Estate Investment Trust (KL:AMEREIT) has entered into a deal on Monday to acquire three industrial properties from its sponsor, AME Elite Consortium Bhd (KL:AME), for RM100.8 million.

The properties are located in AME Elite’s industrial parks — one of them in i-Park @ Senai Airport City (priced at RM39.3 million) and the other two in i-TechValley at Southern Industrial Logistic Clusters (RM30.8 million each), according to a joint statement.

"These under-construction properties feature single-storey detached factories with mezzanine offices and ancillary buildings, with a total agreed lettable area of approximately 296,542 sq ft," the statement said, adding that the transaction is expected to be completed in phases from the third quarter of 2025 to the first quarter of 2026.

Following the completion of the transaction, AME Elite plans to allocate the majority of the proceeds towards further development of i-TechValley, as well as other industrial property projects and investments.

This includes land acquisitions and joint ventures, with expected expenditures to occur within 36 months after the transaction's completion.

This marks AME Elite’s third industrial property sale to AME REIT, following an ongoing transaction involving the sale of four additional industrial properties valued at RM119.5 million.

“The proposed transaction strategically supports our expansion plans by unlocking the value of leased assets, allowing us to redeploy capital into developing future industrial parks, while strengthening our recurring income base through our investment in AME REIT,” AME Elite’s executive director and group CEO Dylan Tan Teck Eng said in the statement.

AME REIT’s portfolio currently consists of 38 industrial and industrial-related assets across Iskandar Malaysia with a total market value of RM732.0 million.

Units of AME REIT was valued at six sen or 4% higher at RM1.57 as at the time of writing today, valuing the trust at RM829 million. AME Elite remained unchanged at RM1.67, giving the group a market capitalisation of RM1.07 billion.

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