It's not me - Soilbuild Reit

Having followed the 2 facebook groups to remove manager of Sabana, one member mentioned that the cost paid to raise the proceeds through their rights was quite huge. Let's compare with industry practice again. This skill honed from years of working under a boss who keeps asking me why i want a raise every year and the need to compare with industry practice.

So the closest one to compare with Sabana would be Soilbuild, both being industrial reits, closest in market capitalization size and closest in rights issuance dates.

Soilbuild Reit's market cap = $662 million
Sabana Reit's market cap = $459 million
(Yahoo finance)

Soilbuild Reit's rights : September 2016
Sabana Reit's rights : December 2016

Soilbuild
Rights-related cost , millions= $0.395
As a percentage of proceeds raised = 0.2/ 59.4 = 0.34%

Sabana
As a percentage of proceeds raised = 4.2% 

4.2% vs 0.34%..... more than 12 times more costly....am i missing something here? I am unable to find the breakdown of the rights-related cost.

Soilbuild Rights

Sabana Rights

A fortunate series of events - AIMS, Mapletree, Soilbuild, Cambridge, Ascendas and Sabana Reits

I am "Old Cow Eat Tender Grass" a.k.a SGDividends

HYST called me and shouted:" May the year of the Rooster see you lose lots and lots of money and after losing all your money, lose your hair too! Just because you gave me $2 and a bunch of expired discount vouchers with minimum spend of $88.... You suck!"

She slammed the phone, before i could retort and say :" It was just a joke, look at your DBS paylah, i put $88 in it......."

A bad joke, which reminded me of the Bee Gees song.

"I started a joke which started the whole world crying. 

But I didn't see that the joke was on me oh no 

 I started to cry which started the whole world laughing 

 Oh If I'd only seen that the joke was on me......."

OK, on a serious note. Are the gripes of the shareholders against Sabana unjustified? Are they a bunch of people who lose money then kao peh kao bu? Is this just an "old cow who eats tender grass" just a blind following the blind? To answer the above questions, I compiled the following tables just so one can see clearly the alignment between a REIT and its shareholders.

Sabana

While the DPU and distributable income decreases over the years from 2013 onwards to 2015, their management fees increases over the years. Does this show alignment with unitholders?

Other industrial REITS

Since people always like to say industry practice, so lets industry practice it. Let's compare with the other industrial REITS.

Ascendas is really solid. While DPU increases, the management fees decreases. Good job!

Aim's fees track their DPU. As DPU rises, fee rises. While DPU drops, fee drops. OK, you win.

Cambridge is an oddball, in that 2013 was an especially 'HUAT' year for the managers but thats because they had an extremely large performance fee due to beating a certain index. But in general, as their DPU decreases, their fees decrease too.

Mapletree is pretty good. While they increase their fees, they increased their DPU. Fair enough.

Soildbuid is doing ok. Similar to Aims, as fees increases, DPU increases. As fees decreases, DPU decreases. Justified.

Yes i am watching.

Exercise your rights and join forces.

REMOVAL OF THE MANAGER OF SABANA REIT

http://sabanareit.blogspot.sg/