MQREIT will look into potential of acquiring Menara Celcom in PJ

KUALA LUMPUR (Dec 7): MRCB Quill Management Sdn Bhd, the manager of MRCB-Quill Real Estate Investment Trust (MQREIT) said it is open to acquiring new assets in the future and will look into the potential of injecting Menara Celcom in Petaling Jaya from one of its sponsors, Malaysian Resources Corp Bhd (MRCB).
 
“MRCB did tell us that Menara Celcom in PJ is under construction, and is targeted to be completed [by] end of next year or early 2018; so once the building is ready and information is available, as a REIT, we will look at that asset.
 
“We don’t have the details at this point of time, but if it fits all our criterias, then yes,” MRCB Quill Management chief executive officer Yong Su-Lin responded when asked at a news conference today, in conjunction with the company’s extraordinary general meeting today on the asset.
 
On whether the group would consider injecting QUILL 6 in Lebuh Ampang, which is owned by MQREIT’s other sponsor, The Quill Group of Companies, Yong said there has been no confirmation on that as yet.
 
“Quill has given us some information; at the moment, we are still looking at it, because the REIT does have the first rights [of refusal] from our sponsors Quill and MRCB, the decision to buy would still be dependent on management and the board.
 
“So until we have done our analysis, it is very hard for us to comment at this point of time,” she said.
 
The Edge Malaysia business & investment weekly (Edge weekly) had reported last month that the Quill Group is seeking buyers for QUILL 6, a 24-storey office building which serves as the headquarters of HSBC Bank Malaysia Bhd.
 
At present, MQREIT’s total assets value stands at RM1.6 billion. After the acquisition of Menara Shell in Kuala Lumpur Sentral for RM640 million, the group’s total assets will reach RM2.27 billion by the end of year.
 
MQREIT shares were down 1 sen (0.8%) to RM1.26 this morning, for a market capitalisation of RM833.34 million. — theedgemarkets.com