Good news for Accordia Golf Trust (AGT) (SGX:ADQU) unitholders as its sponsor, Accordia Golf Co., Ltd., has offered to buy all of its 88 golf courses at a price that’s equivalent to S$0.732 per unit. This is a 5.1% premium to the net asset value of Accordia Golf Trust. Our Early Retirement Masterclass trainer, Chris Ng, mentioned that it might be a good bet in view of a possible offer for Accordia Golf Trust in Dec 2019. It finally materialised.

What it means for unitholders

The Trustee-Manager has stated its intention to distribute the proceeds to the unitholders after deducting the fees. There will be an approximate 0.5% of the purchase price to be paid to the Trustee-Manager as a break fee as they no longer need to manage the Trust anymore. This is like a ‘retrenchment’ benefit. There are other costs and expenses that would comprise up to 2.5% of the purchase price....