MALAYSIAN Resources Corp Bhd (MRCB) is poised to make an announcement this week on a planned real estate investment trust (REIT) exercise, which will help monetise its core property investment assets.
Creating a REIT in view of listing it on the stock market should excite the market, though research firm Affin Research commented that it remains to be seen if there will be a special distribution of REIT units to shareholders.
The research firm added that among the properties being considered to be lumped into the REIT are Platinum Sentral, ShellTower and Ascott Residences and Plaza Alam Sentral.
With an eye fixed on the planned REIT, Affin Research said in a report it values the company at RM2.37 a share and maintains a "buy" call on the stock.
"During a meeting last week, MRCB's management had confirmed that a REIT is in the works," Affin Research disclosed in the report.
A potential REIT by MRCB will help streamline the business focus of the company, as well as help in paring down its debts.
MRCB, which has RM3.4 billion debts in its books, should be able to degear some of its debts.