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Saizen REIT - By NRA CAPITAL
Survival hinges on support from bankers and shareholders
Critical to secure new financing facilities. The most pressing issue for
management is to secure refinancing facilities for JPY13.4b debt and JPY1.5b debt due in November/December 2009 and January 2010 respectively. Management has been actively negotiating with existing bankers for a new debt facility and has indicated that announcements pertaining to the facility will be made by 1Q or 2QCY2009. In light of the credit crunch, the cost of new debt facilities is expected to be higher and this is expected to dampen distributions further.
Fair Value S$0.23
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