Metro Group enters tie-up with Daiwa House Industry

The Cherrybrook Village Shopping Centre in New South Wales, Australia, which was acquired in October 2021 by Metro Holdings with its joint venture partner Sim Lian Group. Credit: Metro HoldingsThe Cherrybrook Village Shopping Centre in New South Wales, Australia, which was acquired in October 2021 by Metro Holdings with its joint venture partner Sim Lian Group. Credit: Metro Holdings

Metro Group has entered a strategic collaboration with Tokyo-listed Daiwa House Industry to cooperate on additional investment opportunities, the Singapore-listed retail operator and property investor said in a filing to SGX Wednesday.

The two companies have entered a memorandum of understanding (MOU) to collaborate initially on investments in logistics facilities, commercial facilities, house or other asset classes in Japan, Singapore and other Asia Pacific countries, as well as potentially other regions, Metro said.

“This is in line with the Metro Group’s overall investment strategy of continued diversification for resilience for sustainable recurring income, particularly in the strategic sectors and countries where we see long term growth, and together with experienced partners,” Yip Hoong Mun, group CEO of Metro, said in the statement.

The agreement follows Metro’s cornerstone investment in Daiwa House Logistics Trust (DHLT), a logistics-focused REIT sponsored by Daiwa House Industry, which was recently listed on the Singapore Exchange. Metro had subscribed for 51.63 million units of DHLT, or an around 7.65 percent stake, for around S$41.3 million, the filing said.