Details and Implications for Shareholders
OUE REIT Management Pte. Ltd. has informed unitholders and the market that all litigation involving its Independent Director and Chairman of the Audit and Risk Committee, Mr Tan Huay Lim, has been discontinued. This follows a formal Notice of Discontinuance filed by the claimant, Mr Zhang Zhencheng, and accepted by the High Court on 7 May 2026.
The Originating Claim, first announced on 29 May 2023, had created an overhang of legal uncertainty, as it involved a high-level director and the trustee-manager of a related trust. Now, with the legal proceedings concluded, both Mr Tan and the company are fully cleared of this litigation. This development removes a key risk factor that may have been weighing on investor sentiment and unit pricing.
Potential Price Sensitivity: The conclusion of this litigation could be seen as a positive catalyst for OUE REIT’s unit price, as it eliminates the risk of ongoing legal action against a senior director and reaffirms the stability of the REIT’s management structure. There are no further legal or financial implications arising from this case for OUE REIT or its directors as a result of this discontinuance.
The announcement also reiterates standard investment risk warnings, reminding unitholders that the value of units and derived income can fluctuate, and that investments are not guaranteed by the manager, the trustee, or their affiliates. Investors should continue to monitor OUE REIT’s performance and market developments closely.
Important Notice to Investors
- Value of OUE REIT units and income derived may rise or fall.
- Units are not guaranteed or insured by the manager or trustee, and are subject to investment risks.
- Past performance is not necessarily indicative of future results.
- Unitholders can only trade their units on the Singapore Exchange Securities Trading Limited (SGX-ST) as there is no redemption or purchase by the manager.
- Liquidity of units on the SGX-ST is not guaranteed.
Disclaimer: This article is for informational purposes only and does not constitute investment advice or a recommendation to buy or sell any securities. Investors should conduct their own due diligence and consult with their financial advisors before making any investment decisions.
