Hongkong Land Holdings Limited ('Hongkong Land' or the 'Company') today announced that it has acquired a 10.8% interest in Suntec Real Estate Investment Trust ('Suntec REIT') from ESR Group Limited ('ESR') for a total cash consideration of S$541m (US$422m) ('the acquisition').

Suntec REIT’s portfolio of strategically located office and retail assets across Singapore’s central business district includes a 33 1/3 interest in both Marina Bay Financial Centre (Towers 1 & 2) and One Raffles Quay – the same assets in which the Singapore Central Private Real Estate Fund ('SCPREF'), majority owned and managed by Hongkong Land, holds a 33 1/3 interest.

The acquisition enables Hongkong Land to deploy recently recycled capital into prime, incomeproducing commercial assets predominantly located in Singapore.  This aligns with the Company’s positive outlook and conviction in Singapore’s prime commercial property market. Additionally, the yield derived from the Company’s stake in Suntec REIT will contribute to the diversification of Hongkong Land’s earnings profile.

The recent announcement by Acrophyte Asset Management Pte Ltd, a wholly owned Tang Organization Pte. Ltd. ('Tang Organization') subsidiary, of its acquisition of the Suntec REIT Manager creates an alignment of interest by way of the Tang Organization owning an approximately 36% interest in Suntec REIT units whilst also owning 100% of the Suntec REIT Manager.

The Tang Organization has announced its intention to undertake a strategic review of Suntec REIT’s portfolio, with the aim of strengthening portfolio performance and enhancing capital efficiency. It also announced its intention to pursue strategic initiatives that may support a higher level of distributions in the coming years.

Hongkong Land’s investment in Suntec REIT has been made at a discount to its independent net asset value of S$2.03 per unit as of 31 December 2025 and the Company recognises Suntec REIT’s strategic potential to unlock value across its portfolio and commitment to driving sustainable long-term growth for all unitholders.