Keppel Corp has announced the second dividend in specie of Keppel REIT to its shareholder this year.  The proposed distribution would give out 8 Keppel REIT shares per 100 Keppel Corp units.  Using the latest market prices, this translate to about 0.94% dividend.

The reasons given for the in-kind distribution are:

Further enhancing the trading liquidity of Keppel REIT

The proposed distribution will further broaden the unitholder base of Keppel REIT in addition to the increase in free float arising from the previous dividend in specie completed on 8 May 2013.  As at the latest practicable date, approximately 44.49% of the issued units of Keppel REIT is in public hands.  Assuming that the proposed distribution was completed as at the latest practicable date, the unitholding of Keppel REIT held by public unitholders will increase to approximately 48.75%.  An increase in public float would improve trading liquidity of ...