CapitaLand Limited (SGX:C31) and CapitaLand Commercial Trust (SGX:C61U) entered into a conditional purchase and assignment agreement to acquire Gallileo building in Central Business District, Frankfurt from Triuva, Kyobo Life Insurance Co., Ltd., Hyundai Marine & Fire Insurance Co. Ltd. (KOSE:A001450), KB Insurance Co., Ltd. and National Credit Union Federation Of Korea for approximately €360 million on May 16, 2018. CapitaLand Limited will acquire 5.1% stake in Gallileo building for €18.1 million in cash to be paid on completion while CapitaLand Commercial Trust will acquire the remaining 94.9% stake for €337.9 million. The consideration includes the assignment of an existing shareholder loan to CapitaLand Limited and CapitaLand Commercial Trust. The consideration is subject to certain adjustments following completion of the acquisition. As per the terms of the deal, CapitaLand Limited and CapitaLand Commercial Trust will extend a loan for the settlement of existing outstanding bank loans owing by Gallileo building, in proportion to their respective shareholdings. CapitaLand Commercial Trust will fund its total acquisition cost of €342.7 million via proceeds of a fully-underwritten private placement of no less than SGD 212 million (€133.87 million) and new loan facilities of €350 million.

The completion is conditional upon the conditions precedent having been fulfilled or waived which include the Federal Cartel Office (Bundeskartellamt) having notified that the acquisition does not give rise to any competition law issues, the external loan taken up having been repaid and the relevant collaterals granted in connection with such loan having been released and no material adverse change in relation to Gallileo building having been occurred. The transaction is pending final approval from the German government. The completion of the acquisition is expected to take place in June 2018. CapitaLand Commercial Trust is expecting the transaction to be accretive. The acquisition is expected to increase CapitaLand Commercial Trust's DPU by 1.4% for the first quarter of the year 2018 on a pro-forma basis. The deal is not expected to have any material impact on the net tangible assets or earnings per share of CapitaLand Limited Group for the financial year ending December 31, 2018.

CapitaLand Commercial Trust Management Limited acted as manager to CapitaLand Commercial Trust. HSBC Institutional Trust Services (Singapore) Limited acted as trustee for CapitaLand Commercial Trust Management. Cushman & Wakefield LLP acted as valuer to CapitaLand Commercial Trust and CapitaLand Limited. Deloitte & Touche Corporate Finance Pte Ltd acted as financial adviser to CapitaLand Commercial Trust Management Limited. Wolfram Krüger, Andreas Schaflitzl, Manfred Müller, Aurélie Clementz, Laura von Samson Himmelstjerna, Florence Forster, Hannes Dietmaier, Maximilian Reinhardt, Alexander Zitzl and Konstantin Sakuth of Linklaters acted as legal advisors for South Korean investor consortium and Triuva. Tim Oliver Brandi, Philipp Weber, Lena Jahnke, Hinrich Thieme, Markus Franken, Siegrun Müller, Maximilian Zembala, Martin Sura, Jan Philipp Sparenberg, Marc Elvinger, Alexander Koch, Kim Tang, Hinrich Thieme and Martin Sura of Hogan Lovells acted as legal advisors for CapitaLand Commercial Trust and CapitaLand Limited.

CapitaLand Limited (SGX:C31) and CapitaLand Commercial Trust (SGX:C61U) completed the acquisition of Gallileo building in Central Business District, Frankfurt from Triuva, Kyobo Life Insurance Co., Ltd., Hyundai Marine & Fire Insurance Co. Ltd. (KOSE:A001450), KB Insurance Co., Ltd. and National Credit Union Federation Of Korea on June 19, 2018. CapitaLand Commercial Trust's placement of unit provided SGD 217.88 million (€137.6 million) proceeds of which SGD 214.3 million (€135.33 million) was applied to the consideration while remaining amount was applied to satisfy expenses.