For the first 5 years after the listing of AME REIT, the Manager intends to achieve the investment objectives through the implementation of the following strategies:
(i) Acquisition growth strategy – The Manager will leverage on AME Group’s future property development projects as well as third party properties to source for and acquire properties within Malaysia(1) that fit within AME REIT’s investment strategy to generate stable cash flows and potential for long-term income and capital growth;
(ii) Proactive asset management strategy – The Manager will seek to optimise and maintain high occupancy rates, achieve stable rental growth and maximise investment returns; and
(iii) Capital and risk management strategy – The Manager intends to optimise AME REIT’s capital structure and cost of capital within the financing limits set out in the REIT Guidelines and intends to use a combination of Islamic financing and equity financing to fund future acquisitions and capital expenditure.
The Manager acknowledges the importance of ESG impact when developing business strategies of AME REIT. As such, the Manager and its Board is committed to adhere to good sustainability practices as further described in the Prospectus.
(1) The CEO is also mandated to source properties situated outside of Johor, with specific focus on the central and northern regions of Peninsular Malaysia as set out in the Prospectus.