Sabana Shariah Compliant Industrial REIT said it is currently in talks with ESR Funds Management to explore options in connection with its strategic review.
The company, in response to Reuters news article regarding the sale, said Sabana REIT has not entered into any definitive legally binding agreement with ESR-REIT at this point.
Warburg Pincus-backed e-Shang Redwood (ESR) is an Asian logistics developer, which provides distribution space for logistics service providers operating both within Asia and around the world.
ESR has been conducting due diligence on Sabana REIT and is set to complete its talks in a few months, Reuters reported on Monday citing sources familiar with the process.
Shabana REIT undertook strategic review in February this year following poor performance of the trust compared to its peers in the past three years.
The review included the current shareholding structure and company's strategic direction and business.
Sabana REIT has assets of about S$1 billion comprising warehouses, logistics and high-tech industrial properties.
Shares in Sabana REIT fell 1 percent to S$0.485 as of 0515 GMT after the removal of trading halt on Monday. Stock has risen 28 percent so far this year.
