SGX RegCo asks EHT to update and clarify on restructuring

They were asked to provide an outline of proposals made known to the special committee.

The Singapore Exchange Regulation (SGX RegCo) has queried Eagle Hospitality Trust (EHT) to provide an update on the actions that its Special Committee has taken in relation to its restructuring process.

EHT is asked to provide an outline of proposals that were made known to the Special Committee and disclose any conflict of interest during the proposal management process, and how these conflicts were managed.

They were also requested to disclose any proposals that “contemplate a change in control of the REIT Manager.”

“The REIT Manager and the Trustee Manager of EHT are legally required to give priority to the interest of all security holders of the Stapled Trust as a whole, over their own interest in the event of a conflict of interest,” SGX RegCo stated in the inquiry.

EHT is also required to confirm that they have given priority to the interests of all the unitholders in EHT over their own interests in the proposal management process; and that the proposal that they will or have selected is in the best interest of the unitholders in the stapled trust.

In announcements between 1 April and 28 April, EHT had assigned FTI to assist in the restructuring process, and tasked Moelis as their financial adviser to assist the Special Committee and the REIT Trustee.