There is growing uncertainty over the future of some listed property trusts this week, with a number due to report now being suspended from official quotation on the Australian Securities Exchange.
Galileo Japan Trust, and Orchard Industrial Property Fund yesterday broke their silence over steep half-year losses and banking covenants, which both have come dangerously close to breaching.
Orchard flagged a delay to its results announcement on Friday and Galileo securities resumed trading yesterday after being frozen for several days. Both companies had been locked in talks with financiers.
Trade in the securities of five other smaller property trusts remains halted while they sort out loan arrangements or wait for auditors to tidy up accounting matters.