AME Real Estate Investment Trust Issues Units to Management as Management Fees

Strategic Insights -

AME Real Estate Investment Trust ("AME REIT") has announced the listing of up to 30 million units in the trust to be issued as payment of management fees to I REIT Managers Sdn Bhd ("Manager"), the trust's manager. This payment will be made on a staggered basis, with the first issuance of 773,944 units expected to occur on July 22, 2025. According to the announcement, the Manager has elected to receive management fees via new units in AME REIT for the period from April 1, 2025, to June 30, 2025. The calculation of the management fees is as follows: a base fee of RM602,581, resulting in the issuance of 376,190 units, and a performance fee of RM637,123, resulting in the issuance of 397,754 units, totaling RM1,239,704 and 773,944 units, respectively.

Key Takeaways:

  • AME REIT will issue up to 30 million units as payment of management fees to the Manager, I REIT Managers Sdn Bhd.
  • The Manager will receive its management fees via new units in AME REIT for the period from April 1, 2025, to June 30, 2025.
  • The calculation of the management fees involves a base fee of RM602,581 and a performance fee of RM637,123.
  • The public unitholding spread of AME REIT stood at 33.60% as at July 22, 2025.
  • The trust will comply with the Bursa Securities' requirement of at least 25% public unitholding after the issuance of the units.
  • The issuance of the units will decrease the pro forma public unitholding spread of AME REIT to 33.55%.

Statistics:

  • The Manager will receive a total of 773,944 units as payment of management fees.
  • The base fee and performance fee will total RM1,239,704.
  • The public unitholding spread of AME REIT is currently 33.60% as at July 22, 2025.
  • The pro forma public unitholding spread of AME REIT will decrease to 33.55% after the issuance of the units.

Sources:

  • "OTHERS AME Real Estate Investment Trust ("AME REIT") Listing of and quotation for up to 30.0 million units in AME REIT to be issued as payment of management fees to I REIT Managers Sdn Bhd (''Manager'') on a staggered basis ("Approved Manager's Units")"
  • Bursa Malaysia Securities Berhad ("Bursa Securities")'s letter dated 2 June 2022
  • AME REIT's prospectus dated 17 August 2022