First REIT to buy Manado integrated hospital and hotel
It will also acquire another hospital in Makassar in Indonesia’s southern province of Sulawesi.
Bowsprit Capital Corporation Limited, as manager of First Real Estate Investment Trust, announced that First REIT has entered into conditional sale and purchase agreements for the proposed acquisition of two new properties in Indonesia.
The proposed acquisitions will be purchased from two wholly-owned units of PT Lippo Karawaci Tbk, First REIT’s sponsor, for a combined purchase consideration of approximately S$142.9 million.
The acquisition of Siloam Hospitals Manado & Hotel Aryaduta Manado at a consideration of S$83.6 million will be funded by a combination of committed debt and proceeds from a proposed private placement exercise to be carried out by Bowsprit Capital Corporation Limited.
Meanwhile the purchase of the S$59.3 million Siloam Hospitals Makassar will be financed entirely by a drawdown of committed debt.
The announcement said the move will boost First REIT’s portfolio to span 12 properties across 3 regions, with a total asset size worth S$782.2 million.