Frasers Property Ltd’s Second Attempt to Privatize REIT

In a bold move, Thai billionaire Charoen Sirivadhanabhakdi’s Frasers Property Ltd is once again attempting to take Frasers Hospitality Trust private. This second bid comes with a valuation of S$1.37 billion (US$1.10 billion or RM4.54 billion), as reported by The Edge Malaysia and Bloomberg on May 14, 2025. The Singapore-based developer is offering S$0.71 per share, representing a 7% premium over the REIT’s last traded price of S$0.665 before its shares were halted.

This attempt follows a failed privatisation effort in 2022, where Frasers Property offered S$0.70 per share, falling short of the required 75% shareholder threshold. The TCC Group, Charoen’s family conglomerate, controls over 60% of the trust’s shares, according to Bloomberg data.

The backdrop to this move is a turbulent period for Singapore’s REIT market. Despite a recovery in sectors like hospitality post-pandemic, the market has been impacted by higher interest rates and geopolitical uncertainties. These challenges have led to concerns about limited liquidity in the broader listed property industry, prompting a wave of privatisations.

Adding to the complexity, Frasers Property’s shares, along with those of Frasers Hospitality Trust, were suspended from trading on May 13, 2025, as noted by Finanznachrichten. This suspension underscores the market’s volatility and the strategic maneuvers companies are making to navigate these uncertain times.

Frasers Property Ltd, a real estate giant with a diverse portfolio across Singapore, Australia, Europe, China, and Southeast Asia, has been a significant player in the industry since its incorporation in 1963. The company, which rebranded from Frasers Centrepoint Limited in 2018, operates through four business units and is a subsidiary of TCC Assets Limited.

As the company navigates this privatisation attempt, stakeholders are closely watching how these developments will impact the broader real estate landscape in Singapore and beyond.