Warburg Pincus, others boost stakes in asset manager ARA
AVIC Trust, supporter of ARA’s rapid global expansion, exits
27 May 2020 | The Asset

ARA Asset Management has announced changes in its shareholding structure for the first time since its privatisation and delisting from the Singapore Exchange in April 2017. 

The changes are expected to take place over a series of secondary transactions. Warburg Pincus, the largest shareholder of ARA, will substantially increase its stake, and the pre-privatisation shareholders of the company – John Lim, CK Asset Holdings and The Straits Trading Company – have also committed to increase their ownership and, subject to regulatory approvals and other conditions, will hold an aggregate of 51.3% of the issued shares post-transaction.

Upon completion of the transaction, Warburg Pincus will hold 48.7% of the issued shares of ARA.  AVIC Trust, which has actively supported ARA’s rapid global expansion over the past few years, will exit as a shareholder. 

Since its privatisation, ARA has acquired stakes in complementary real estate platforms in Japan, Australia, Europe and the US. The gross assets managed by ARA and its associates are valued at S$88 billion (US$58.2 billion), compared with the S$35 billion in assets under management at privatisation.  

Beyond its mainstay of real estate investment trusts and private real estate funds, ARA has diversified into infrastructure, logistics, real estate credit and fintech, which included the recent acquisition of LOGOS, one of the leading logistics real estate platforms in the Asia-Pacific region.

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