Sasseur REIT’s sponsor, Sasseur Cayman Holding, entered a memorandum of understanding with Meritz Securities (MS) to explore strategic collaboration in South Korea for the outlet mall business, it said in a filing to SGX on Wednesday.
Meritz Securities, which has been an investor in Sasseur REIT since its IPO, is a 42.99 percent owned subsidiary of Meritz Financial Group, it said.
“Tapping on Meritz Financial Group’s network and expertise in Korea’s financial services industry, Sasseur Group will favor MS as the first option for financial services or investment pertaining to future business developments in Korea,” Sasseur REIT’s manager, Sasseur Asset Management, said in the statement.
“Similarly, MS will provide necessary financial support and advice to Sasseur Group with respect to the Korean market,” it said.
MS, Meritz Fire & Marine Insurance (MFM) and Meritz Capital (MC), which are collectively the Meritz Group, had subscribed to 57,800,000 units in Sasseur REIT during its initial public offering, representing an interest of 4.9 percent, it said.
After conducting due diligence, Meritz Group last week was granted a unit charge over 72.5 million Sasseur REIT units by a member of the Sasseur Group, it said, adding that made MS, Meritz Financial Group and Jung Ho Cho, who has an aggregate 69.03 percent interest in Meritz Financial Group, substantial shareholders of the REIT. That represented a total 11.04 percent stake.
Sasseur REIT currently has a portfolio of four outlet malls in China.