Starhill Global REIT obtains $50m loan facility

Under SGX's listing manual, the company could require its trustee to repay all the amount owed.

Starhill Global REIT (SGREIT) has clinched a $50m unsecured revolving credit facility from HSBC Institutional Trust Services.

The five and a quarter year loan will be used to finance SGREIT's corporate funding requirements.

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Under the terms of the agreement and according to Rule 704(31) of SGX's listing manual, SGREIT could require its trustee to repay all amounts owed if YTL Starhill Global REIT Management Limited or any of its affiliates ceases to be the manager and "a replacement manager reasonably acceptable to the lender is not appointed on or before the date of such cessation."

The repayment could also commence if YTL Corporation Berhad "ceases at any time to own (directly or indirectly) at least 51% of the issued share capital of the company's manager.

Assuming there would be a change of control when SGREIT fully draws all its committed revolving credit facilities, including the credit facility, the aggregate level of facilities affected will be $1.58b (excluding interest).