Thailand’s TCC Seeks Loan For Frasers Hospitality Trust Privatization

(Bloomberg) — Thai billionaire Charoen Sirivadhanabhakdi’s TCC Group is seeking a S$500 million ($363 million) loan to take Singapore-listed Frasers Hospitality Trust private, according to people with knowledge of the matter.

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The conglomerate, which controls a majority of shares in both Frasers Hospitality and its parent, Frasers Property Ltd., is in talks with banks about a potential transaction to finance the deal, said the people. An announcement about the proposed buyout could be made as early as this week, they said, asking not to be identified as the process is private.

The real estate investment trust is working with a financial adviser as it explores the potential privatization, amid concerns that its share price doesn’t reflect the company’s value, Bloomberg News reported in April.

Deliberations are ongoing and there is no certainty that the deal will proceed, the people said. A representative for Frasers Hospitality Trust declined to comment, while TCC Group didn’t immediately respond to requests for comment.

Trading of shares in Frasers Hospitality Trust and Frasers Property were halted Thursday pending an announcement from the companies.

With a portfolio valued at S$2.25 billion, Frasers Hospitality Trust oversees 15 properties across Asia, Australia and Europe, according to Frasers Property’s 2021 annual report.

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