Cache Logistics Trust

Cache Logistics Trust: REIT has received approval from unitholders pertaining to the proposed acquisition of Pandan Logistics Hub and the entry of a master lease agreement with CWT. With the addition of this prime logistics property, CACHE will have 12 quality assets under management and an enlarged GFA of 4.83m sqft. CACHE also embarked on a capital management exercise to enhance its debt profile, consistent with expectations. Notably, the effective interest rate for the new bank facility is 2.8% plus SOR, which is at 30bps below its existing rate of 3.1% plus SOR. Hence, CACHE is likely to gain from interest savings going forward. OCBC reiterate its BUY rating on CACHE. Fair value is raised from $1.11 to $1.18, after incorporating the acquisition of Pandan Logistics Hub and interest savings.