Perennial China Retail Trust

[greengiraffe]

PCRT is a very different animal - a business trust equivalent that started with many greenfield projects that are owned by subsidiaries while operational assets are presently held by associates with rental guarantees.

At the inception, PCRT was likely to be structured for a more bullish outlook that has since changed.

However, Pua being an experienced real estate person has probably thought through all these and in any event, he is focus on delivering on greenfield projects. In fact, I gather from many sources on many occasions that he is not willing to sell these greenfield quickly and be perceived as a speculator has beings little value for local economic development where his projects are located.

China is a vast country and systems are highly complicated and perhaps being perceived as a real businessman and investor will be viewed in a better light especially as a foreign investor.

I think it is due to the strategy and the pending expiration of the rental guarantee on top of the stablisation period needed for the completion of the various greenfield projects that Pua is throwing his flagship holdings with more diversified assets in Singapore to back up PCRT.

According to your previous postings, while is confident that majority of PCRT will be swapped into the enlarged holding company, the possibility of PCRT maintaining its listing status with an illiquid float remains.

I personally doubt that a cash alternative would ever be offered to PCRT throughout the entire restructuring process.

Divested and Under The Radar
GG

In last AGM , Pua had said the NAV was actually 0.72 after taking weak RMB into consideration.