CIMB in JV to set up Australian real estate fund

Tags: AOF 1 | Christopher Cheah Yew Ho | CIMB Group Holdings Bhd | CIMB RE | David Tan Wei-Son | TCA

Written by Financial Daily
Tuesday, 20 October 2009 10:58

KUALA LUMPUR: CIMB Group Holdings Bhd’s wholly owned CIMB Real Estate Sdn Bhd (CIMB RE) has entered into a 70:30 joint-venture agreement with Trustcapital Advisors Pte Ltd (TCA) to establish and manage an Australian real estate fund.

In a statement, CIMB said under the agreement signed yesterday, CIMB RE and TCA would set up the joint venture (JV) as a private limited company in Singapore with an issued and paid-up capital of S$960,000 (RM2.33 million) comprising 960,000 shares of S$1 each.

“The purpose of this joint venture is to establish and administer private real estate funds investing in Australia. The proposed maiden real estate fund this joint venture wishes to establish is a fund investing in completed office buildings in Australia, to be called the Australian Office Fund 1 (AOF 1), or such other name as the shareholders may mutually agree,” it said.

It was envisaged that the JV would be appointed as the investment adviser to AOF 1 on matters relating to the selection of investments, structuring, negotiations and monitoring investments, and designing and executing appropriate exit strategies, the statement added.

It said the JV company would be headed by Christopher Cheah Yew Ho and David Tan Wei-Son as managing director and executive director, respectively. CIMB would have three directors on the five-member board.


This article appeared in The Edge Financial Daily, October 20, 2009.