THE trustee-manager of Dasin Retail Trust has received a requisition notice from a group of dissenting unitholders, as they sought to not only internalise Dasin’s trustee-manager function, but also to replace its current adviser, FTI Consulting (Singapore).
Specifically, they have called for another extraordinary general meeting (EGM) to remove the current trustee-manager and replace it with the intended internal trustee-manager Banda Capital, which was established by the requisitioners through an independent trustee on Jan 5, 2024.
The requisitioners, who say they own more than 10 per cent of voting rights of all Dasin unitholders, are also seeking to remove FTI with immediate effect such that a new adviser may be appointed by the internal trustee-manager.
Should the resolution to internalise the trustee-manager fall through, they propose that a committee of unitholders owning over 50 per cent of Dasin’s units would be responsible for selecting and nominating a new adviser.
In a Dec 27 letter disclosed on Monday (Dec 30), the requisitioners noted that more than 19 months have passed since FTI was appointed to assist with the restructuring of Dasin’s financial obligations.
“The requisitionists are of the view that the unitholders have run out of patience with (Dasin’s trustee-manager). Almost two years have passed since FTI was first appointed and disappointingly, the fact remains that no progress has been made in relation to Dasin Retail Trust’s restructuring efforts,” they said.
BT in your inbox
Start and end each day with the latest news stories and analyses delivered straight to your inbox.
These unitholders further said that a change in Dasin’s trustee-manager and adviser would “revitalise” the trust’s restructuring talks with its creditors.
“Enough time has been granted to FTI. It is now time for a change. We believe a new adviser should step in to bring fresh expertise and momentum to the restructuring negotiations,” stated the unitholders in their latest requisition letter.
Previously, a resolution to internalise the trustee-manager was passed at an EGM held on Feb 19 this year – though the requisitioners claimed the current trustee-manager had “placed multiple hurdles and refused to comply” with the directions that were approved at the meeting.
They also noted that a separate group of unitholders had attempted to terminate FTI’s appointment as Dasin’s adviser in an Aug 16 circular, but failed to do so as it was contingent on a special resolution that was not carried at the trust’s Sep 9 EGM.
“The requisitionists strongly believe that the only way for Dasin Retail Trust to move ahead with its restructuring is to take back control of the process by internalising the trustee-management. The benefits of internalising the trustee-manager function have been extensively mentioned in the circular for the Feb 19, 2024, EGM, and will be reiterated again when the circular for this general meeting is dispatched,” said the unitholders.
Dasin’s trustee-manager said it will verify the holdings of the units of the latest group of requisitioning unitholders. It also intends to seek legal advice relating to the Dec 27 requisition notice.
Units of Dasin rose S$0.002 or 6.9 per cent to S$0.031 as at 1.22 pm on Monday, after its trading halt was lifted.
