Mapletree Logistics Trust (MLT), a major Singapore-based real estate investment trust (REIT), has announced its Q3 FY24/25 distribution alongside a significant operational update that could impact investors and share value.

Key Highlights from the Announcement

• Distribution Details: Unitholders will receive a distribution of 2.003 Singapore cents per unit for the period from 1 October 2024 to 31 December 2024. This comprises:
  • Taxable income: 0.554 Singapore cents per unit
  • Tax-exempt income: 0.462 Singapore cents per unit
  • Capital component: 0.987 Singapore cents per unit
• Important Dates:
  • Ex-distribution trading begins: Tuesday, 28 January 2025, at 9:00 a.m.
  • Record date for unitholders: Friday, 31 January 2025, at 5:00 p.m.
  • Distribution payment date: Thursday, 13 March 2025
• Suspension of Distribution Reinvestment Plan (DRP): Effective from the Q3 FY24/25 distribution, the DRP will be suspended. Unitholders will no longer have the option to reinvest their distributions into units and will instead receive cash distributions. The Manager of MLT has indicated that the DRP may be reconsidered in the future.

Tax Implications for Unitholders

MLT has provided detailed guidance on the tax treatment of the distribution:

• The tax-exempt income component and the capital component are exempt from tax for all unitholders. No tax will be deducted at the source for these components.
• For the taxable income component, tax will be deducted at a rate of 10% for qualifying non-resident non-individuals or non-resident funds. For other unitholders, tax may be deducted at a rate of 17% unless they qualify for exemptions.
• Unitholders in specific categories (e.g., individuals holding units in their sole names or Singapore tax-resident companies) are exempt from tax on the taxable income component and will receive the gross distribution without deductions.
• Unitholders required to file tax declaration forms (Form A or Form B) must submit them by Tuesday, 18 February 2025, 5:00 p.m.. Failure to do so will result in tax being deducted at the default rate of 17%.

Important Considerations for Investors

While the distribution announcement is in line with expectations, the suspension of the DRP could be a price-sensitive development. Investors who relied on the DRP for compounding returns may need to adjust their strategies. The Manager’s decision to review the DRP in the future adds an element of uncertainty, potentially impacting investor sentiment.

Additionally, unitholders should pay close attention to the tax declaration requirements to avoid higher tax deductions. The deadline for submission of forms is critical and should not be missed.

Key Dates to Mark

Below is a summary of the critical dates related to the Q3 FY24/25 distribution:

• 28 January 2025: First day of “ex-distribution” trading
• 31 January 2025: Closure of Transfer Books and Register of Unitholders
• 4 February 2025: Dispatch of tax declaration forms (Form A and Form B)
• 18 February 2025: Deadline to submit tax declaration forms
• 13 March 2025: Payment of cash distribution

Contact Information

If unitholders have any queries about the procedures, they can contact:

• Ms. Lum Yuen May, Director, Investor Relations
• Phone: +65 6659 3671
• Email: lum.yuenmay@mapletree.com.sg

Alternatively, visit the MLT website at www.mapletreelogisticstrust.com.