Wednesday, July 24, 2013

SPH REIT rises in IPO debut on yield attraction

WRITTEN BY BLOOMBERG  
WEDNESDAY, 24 JULY 2013 18:03

SPH REIT, the owner of the Paragon mall along Singapore’s shopping belt, gained on its first day of trading as investors were attracted by returns higher than those of comparable properties.

The shares jumped 9.4% to 98.5 cents at the close of trading. The stock was offered at 90 cents apiece, the top end of its price range. They started trading at 2 p.m. Singapore time and were 37 times subscribed.

“It was super oversubscribed as bond yields have stabilized a bit of late, which helped investor interest pick up,” Vikrant Pandey, a Singapore-based analyst at UOB Kay Hian Pte said. “Also retail assets are considered more of a defensive play so thats helped generate interest too.”


Shares of the real estate investment trust were offered with a yield of 5.79% based on fiscal 2014 projections. That’s higher than the measure tracking REITs in Singapore, which trades with a yield of 4.76%, according to data compiled by Bloomberg.

Singapore Press Holdings, the city’s biggest publisher, raised $554 million in the initial public offering of its retail assets through the REIT. SPH REIT sold 615.8 million units, offered at 85 Singapore cents to 90 cents each.

The REIT was competing for funds with an offering by property company Overseas Union Enterprise that includes a downtown Singapore hotel and mall. Both offerings were subscribed as investors sought high-yielding assets, where trusts have been the most active fundraisers in Singapore in the past year. REITs and business trusts raised $4.16 billion, or 67%, of the $6.2 billion of stock priced, according to data compiled by Bloomberg.


HIGHER YIELD
Overseas Union, which sought as much as $614 million for its REIT and business trust, will offer a yield of as much as 7.5% based on earnings projections for 2014, it said this month. OUE Hospitality Trust will start trading tomorrow.

SPH REIT sold units to key investors including Great Eastern Life Assurance Co. and Morgan Stanley Investment Management Co., it said in its prospectus.

The Paragon mall counts Prada, Gucci and Jimmy Choo among its tenants. The trust also holds the Clementi Mall in a western Singapore suburb.

Singapore Press said in May it will hold about 70% of SPH REIT after it goes public, and the proceeds will fund the group’s growth and a special dividend.

Credit Suisse Group AG, DBS Group Holdings and Oversea-Chinese Banking Corp. managed the sale.


Source/Extract/Excerpts/来源/转贴/摘录: www.theedgesingapore.com
Publish date:24/07/13

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Warren E. Buffett(沃伦•巴菲特)
Be fearful when others are greedy, and be greedy when others are fearful
别人贪婪时我恐惧, 别人恐惧时我贪婪
投资只需学好两门课: 一,是如何给企业估值,二,是如何看待股市波动
吉姆·罗杰斯(Jim Rogers)
“错过时机”胜于“搞错对象”:不会全军覆没!”
做自己熟悉的事,等到发现大好机会才投钱下去

乔治·索罗斯(George Soros)

“犯错误并没有什么好羞耻的,只有知错不改才是耻辱。”

如果操作过量,即使对市场判断正确,仍会一败涂地。

李驰(中国巴菲特)
高估期间, 卖对, 不卖也对, 买是错的。
低估期间, 买对, 不买也是对, 卖是错的。

Tan Teng Boo


There’s no such thing as defensive stocks.Every stock can be defensive depending on what price you pay for it and what value you get,
冷眼(冯时能)投资概念
“买股票就是买公司的股份,买股份就是与陌生人合股做生意”。
合股做生意,则公司股份的业绩高于一切,而股票的价值决定于盈利。
价值是本,价格是末,故公司比股市重要百倍。
曹仁超-香港股神/港股明灯
1.有智慧,不如趁势
2.止损不止盈
成功者所以成功,是因为不怕失败!失败者所以失败,是失败后不再尝试!
曾淵滄-散户明灯
每逢灾难就是机会,而是在灾难发生时贱价买股票,然后放在一边,耐性地等灾难结束
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