Latest Posts By Joelton
- Supreme
About Joelton
|
|
| 27-Mar-2020 09:42 |
DBS
/
DBS
 Go to Message
|
 x 0
 x 0
|
DBS CIO urges investors to stay the course, focus on 5G and infrastructure trends
Uma Devi 26/03/2020, 7:28pm
SINGAPORE (Mar 26): In what has been one of the fastest sell-downs in history, the Covid-19 outbreak has single-handedly driven global equities to bear territories in the span of just a few trading sessions. But, despite the massive market meltdown, DBS chief investment officer Hou Wey Fook believes most of the negative headwinds have already been substantially priced in. To be sure, the virus-led volatility has invoked memories of the 2008 Global Financial Crisis and the 2000 dot-com bust. Yet, Hou&rsquo s message is clear: This too shall pass. &ldquo No doubt, the viral crisis has been disruptive. But it is also a transitory event that has no bearing on long-term structural trends,&rdquo says Hou. &ldquo Investors should be clear-headed on what constitutes structural headwinds and what constitutes transitory headwinds.&rdquo The way Hou sees it, the US-China trade war represents a bigger long-term threat to risk assets, given that the basis of the war is driven by ideological differences between the global superpowers. In contrast, he believes the virus outbreak is a disaster that &ndash despite inflicting some sharp medium-term bouts of pain &ndash will eventually fade away. In fact, Hou already notices some &ldquo green shoots&rdquo on the horizon. &ldquo The improved situation in China, which has led to the re-opening of factories, is indeed an encouraging sign, as it means a gradual normalisation of global supply chains,&rdquo says Hou. &ldquo If China succeeds in bringing its production capacity back to the 70% mark, it will mark the start of a gradual recovery.&rdquo For now, Hou is banking on a U-shaped economic recovery due to the scale of the crisis that has affected many major economies in the world, as well as the potential difficulties that could arise from restarting global supply chains. To this end, Hou is falling back on his go-to tactic in such times of uncertainty: A Barbell Strategy, with a portfolio holding globally diversified securities in two areas of focus &ndash income generators and growth equities. Specifically, Hou has his eye on two key themes: technology and global infrastructure. With central banks around the world maintaining a dovish stance given ongoing macro anxieties, Hou notes that the hunt for yield is likely to dominate the narratives in the second half of 2020. As such, he opines that the hunger for data, and speedy and reliable communications will be more intense than ever before. This, he says, signals a definite win for investors who choose to jump onboard the tech bandwagon. &ldquo 5G will drive the development of semiconductors, communication equipment, and associated services,&rdquo says Hou, adding that the ultimate winners of this theme include integrated circuit makers and semiconductor manufacturers. A second theme for investors to focus on in the coming year is global infrastructure, Hou shares. He adds that this is especially relevant amid evolving trends in urbanisation, digitalisation, climate change, and rising inequality. &ldquo Given the constraints of government spending, we see increasing reliance on private capital to finance public infrastructure,&rdquo says Hou. &ldquo With strong pricing power and limited competition, there are opportunities to seek out attractive and sustainable yield plays.&rdquo In his view, infrastructure assets today present high and sustainable dividend payouts, as well as generate respectable yields in comparison with other asset classes. On top of this, infrastructure assets have strong pricing power due to cost pass-through structures and limited competition, he says. &ldquo Allocating a portion of investments into infrastructure will have the effect of reducing overall portfolio volatility while bolstering overall returns,&rdquo says Hou. In addition, Hou also has conviction calls on stocks with growth opportunities, such as technology, healthcare and China equities. He also sees gold as a crucial &ldquo risk-diversifier&rdquo for investors&rsquo portfolios. Having returned 2% over the past three months alone, the precious metal has lived up to its name as an effective portfolio hedge by outperforming all other asset classes and currencies. &ldquo We believe recession talks will resume as soon as economic data show the impact of the outbreak. Gold price should then prove its worth once again,&rdquo says DBS strategist Joanne Goh. &ldquo Gold will continue to be supported as persistently low interest rates reduce the opportunity cost of holding gold and thus, appeal to a wide range of investors as a store of genuine wealth.&rdquo With strong policy support and the resumption of manufacturing activities, Hou&rsquo s advice to investors &ndash for now at least &ndash is to stay the course. &ldquo While some economic activities are lost during this period of time, the others were merely postponed,&rdquo says Hou. &ldquo Macro momentum will eventually rebound during the second half.&rdquo https://www.theedgesingapore.com/news/investing-strategy/dbs-cio-urges-investors-stay-course-focus-5g-infrastructure-trends |
| Good Post Bad Post | |
| 27-Mar-2020 09:38 |
DBS
/
DBS
Go to Message
|
|
x 0
x 0
|
DBS postpones AGM THU, MAR 26, 2020 - 1:08 PM DBS Group on Thursday said it would defer its annual general meeting (AGM) that was originally due on March 31. This comes as the government has imposed stricter measures to enforce safe-distancing in social settings given the novel coronavirus outbreak. From 11:59pm on March 26, all events and mass gatherings must be deferred or cancelled, regardless of size. The regulators had also said this week that legislative amendments are being proposed for Parliament sitting in April 2020 in relation to the conduct of meetings. This should include allowing listed companies the flexibility to hold meetings solely by virtual means. With this, pre-registrations previously opened by DBS to watch the webcast and for physical attendance on March 31 have ceased." DBS will update shareholders of the new date for the AGM and the procedures for participation after the legislative amendments to facilitate the holding of the meeting have been passed, and the necessary arrangements have been put in place in order to implement the safe distancing measures imposed by the Ministry of Health." https://www.businesstimes.com.sg/companies-markets/dbs-postpones-agm |
| Good Post Bad Post | |
| 27-Mar-2020 09:33 |
Landmark REIT
/
Overview of Lippo Malls Trust
Go to Message
|
|
x 0
x 0
|
LMIRT closes 11 Indonesia malls to curb coronavirus spreadTHU, MAR 26, 2020 - 1:13 PM | UPDATED THU, MAR 26, 2020 - 2:49 PM
LIPPO Malls Indonesia Retail Trust (LMIRT) will temporarily close 11 Indonesia malls as a precaution in light of the coronavirus outbreak, its manager said on Thursday. The malls will close from March 27 to April 9, and are located in the Greater Jakarta region, Bandung and Bali. Local authorities did not order the closure of the malls, but the decision was made in consideration of the Indonesian government' s call to curb the spread of the virus together with input from others in the shopping mall industry, LMIRT' s manager said. Essential services in the malls - such as supermarkets, pharmacies and clinics - will remain open with shorter operating hours from 11am to 6pm. Tenants can also choose to continue operations that serve online delivery orders. Tenants of the closed malls will be exempted from rental fee payment during the closing period. The remaining malls in the trust' s portfolio will remain open with shorter operating hours from 11am to 6pm, and with additional safety measures such as the use of face masks and hand sanitisers. LMIRT' s portfolio consists of 23 malls and seven retail spaces in Indonesia as at Dec 31, 2019. The trust' s manager said distributable income will be affected negatively for the second quarter of 2020 due to lack of rental payment from tenants in the closed malls. The manager added it is difficult to ascertain the full financial impact of the crisis as the situation remains uncertain. " Nevertheless, the trust remains in compliance of its debt financial covenants and has adequate financial reserves to fulfil its obligations in the foreseeable future," it added. To date, more than 30 retail malls, including the 11 from LMIRT, have closed or announced plans for temporary closure across Indonesia. LMIRT units were unchanged at 12.3 Singapore cents as at 2.08pm on Thursday, after the announcement was made. https://www.businesstimes.com.sg/companies-markets/lmirt-closes-11-indonesia-malls-to-curb-coronavirus-spread |
| Good Post Bad Post | |
| 27-Mar-2020 09:29 |
SIA
/
SIA
Go to Message
|
|
x 0
x 0
|
SIA to raise S$8.8 billion via rights issue of shares and convertible bonds amid Covid-19 crisisFRI, MAR 27, 2020 - 1:57 AM WITH the Covid-19 pandemic paralysing airline operations worldwide, Singapore Airlines (SIA) is raising S$5.3 billion in new equity and S$3.5 billion via 10-year mandatory convertible bonds (MCBs) as its largest shareholder Temasek Holdings throws its support behind the national carrier. According to a filing to the Singapore Exchange early on Friday morning, the company is proposing a renounceable rights issue of new ordinary shares and mandatory convertible bonds to raise about S$8.8 billion. Up to 1.77 billion rights shares will be issued at S$3 per share on the basis of three rights shares for every two existing ordinary shares held by shareholders. The issue price represents a discount of about 53.8 per cent to the last transacted price of the S$6.50 on March 25, that being the last trading day prior to the announcement. Meanwhile, up to S$3.5 billion of rights MCBs will be issued at S$1 for each rights MCB on the basis of 295 rights MCBs for every 100 existing ordinary shares held by shareholders. The rights MCBs are convertible into fully paid up new shares based on the conversion price of S$4.84, which is a 10 per cent premium to the theoretical ex-rights price of S$4.40 per share. In addition, SIA will be seeking approval to further issue up to S$6.2 billion of additional MCBs on similar terms and to be offered to shareholders via one or more rights issues down the line. This could take place within 15 months of being approved by shareholders. The national carrier said that Temasek - which currently holds a stake of 55.46 per cent - will vote in favour of the resolutions and has committed to subscribe for its full entitlement and the remaining balance of both issuances. Meanwhile, SIA has also arranged a S$4 billion bridge loan facility with DBS Bank to help meet the airline&rsquo s near-term liquidity needs. Of the S$8.8 billion in proceeds, SIA plans to use S$3.7 billion for operating cashflow, S$3.3 billion for aircraft purchases and aircraft related payments, and the rest for debt servicing and other payments. The Covid-19 pandemic has presented an unprecedented crisis for airlines around the world, forcing them to slash capacity, ground aircraft and shed jobs as countries tighten their borders to visitors. The International Air Transport Association has estimated that global carriers will need up to US$200 billion in aid from governments to save the aviation industry. SIA chairman Peter Seah said: &ldquo This is an exceptional time for the SIA Group. Since the onset of the Covid-19 outbreak, passenger demand has fallen precipitously amid an unprecedented closure of borders worldwide. We moved quickly to cut capacity and implement cost-cutting measures.&rdquo He added: &ldquo The board is confident that this package of new funding will ensure that SIA is equipped with the resources to overcome the current challenges, and be in a position of strength to grow and reinforce our leadership in the aviation sector.&rdquo Temasek International chief executive Dilhan Pillay Sandrasegara, highlighted: &ldquo This transaction will not only tide SIA over a short-term financial liquidity challenge, but will position it for growth beyond the pandemic.&rdquo He went on to add that Temasek fully supported SIA&rsquo s ongoing efforts to transform itself, which includes the modernisation of its fleet with the acquisition of new fuel efficient aircraft over the next few years in line with its expansion strategy. The SIA group is facing its biggest crisis to date, having announced on Monday that it would make sweeping capacity cuts of 96 per cent until end-April. This will see it ground 138 SIA and SilkAir planes out of their combined 147 aircraft while low-cost unit Scoot is suspending almost its entire network. Shares in SIA were halted from trading on Friday morning pending the release of the announcement. https://www.businesstimes.com.sg/companies-markets/sia-to-raise-s88-billion-via-rights-issue-of-shares-and-convertible-bonds-amid |
| Good Post Bad Post | |
| 27-Mar-2020 09:20 |
Chip Eng Seng
/
ChipEngS - Low PE, High Yield and High NAV in One
Go to Message
|
|
x 0
x 0
|
Chip Eng Seng unit bags S$433m contractTHU, MAR 26, 2020 - 6:37 PM THE Public Utilities Board (PUB) has awarded the Tuas Water Reclamation Plant contract worth S$433 million to Sembcorp Design and Construction, a wholly-owned subsidiary of mainboard-listed real estate group, Chip Eng Seng. The contract relates to building works to be undertaken at the Tuas Water Reclamation Plant as part of Phase 2 of the Deep Tunnel Sewerage System project. The works under the contract include the construction of biosolids building and digesters, the supply and installation of biosolids treatment and biogas handling equipment, and the testing and commissioning of the facilities, said the firm in regulatory update on Thursday. Construction is expected to be completed by 2025. The contract requires Sembcorp Design and Construction to operate and maintain the facilities a year after completion. The contract is expected to " contribute positively" to the net tangible assets and earnings per share of the company for the current financial year ending Dec 31, 2020. https://www.businesstimes.com.sg/companies-markets/chip-eng-seng-unit-bags-s433m-contract |
| Good Post Bad Post | |
| 27-Mar-2020 09:17 |
OCBC Bank
/
OCBC
Go to Message
|
|
x 0
x 0
|
Deep value has yet to emerge in Singapore equities: OCBC FRI, MAR 27, 2020 - 5:50 AM Opportunities for investors with investment horizon of over a year Singapore SINGAPORE equities are trading at attractive valuations following a Covid-19 induced market sell-off but deep value has yet to emerge, head of OCBC Investment Research Carmen Lee said. Ms Lee, who was speaking to media at a Q2 Singapore equities outlook briefing, added... https://www.businesstimes.com.sg/companies-markets/deep-value-has-yet-to-emerge-in-singapore-equities-ocbc |
| Good Post Bad Post | |
| 26-Mar-2020 10:16 |
CromwellReit EUR
/
Cromwell European REIT
Go to Message
|
|
x 0
x 0
|
Cromwell E-Reit completes purchase of German properties, sells 12 other assets THU, MAR 26, 2020 - 5:50 AM CROMWELL European Real Estate Investment Trust (Cromwell E-Reit) has completed two deals - the acquisition of three light industrial/logistics properties in Germany and the sale of 12 assets in other European countries - its manager said on Wednesday. The three acquired... https://www.businesstimes.com.sg/companies-markets/cromwell-e-reit-completes-purchase-of-german-properties-sells-12-other-assets |
| Good Post Bad Post | |
| 26-Mar-2020 10:09 |
SATS
/
Sats
Go to Message
|
|
x 0
x 0
|
SATS to issue S$200m in notes due 2025WED, MAR 25, 2020 - 9:20 PMSATS on Wednesday announced that it is offering S$200 million in five-year notes. The notes, which will mature five years from the date of issuance, will have a fixed coupon rate of 2.88 per cent per annum payable semi-annually in arrear. The notes are in denominations of S$250,000 and are expected to be issued on March 31, 2020. Net proceeds will be used for refinancing of existing borrowings and general corporate purposes, SATS said in a bourse filing. The Series 001 notes will be issued under the company' s S$500 million multi-currency debt-issuance programme. DBS Bank and UOB have been appointed as joint lead managers and bookrunners. Shares of SATS closed up $0.36 or 13.2 per cent to S$3.09 on Wednesday. https://www.businesstimes.com.sg/companies-markets/sats-to-issue-s200m-in-notes-due-2025 |
| Good Post Bad Post | |
| 26-Mar-2020 10:05 |
UnUsUaL
/
UNUSUAL LIMITED [1D1.SI]
Go to Message
|
|
x 0
x 0
|
UnUsUaL Limited implements pay cut and other moves to conserve cash reserves amid virus crisisWED, MAR 25, 2020 - 7:20 PM BONVESTS Holdings announced on Wednesday that it will revoke its proposed dividend of 1 Singapore cent per share for the financial year ended Dec 31, 2019 on the back of the negative impact of the Covid-19 outbreak on its business. This comes after " serious and careful deliberation by the board" , with the firm seeing demand for its hotels and resorts take a hit from the virus outbreak, the company said in a regulatory update. " The payment of the proposed dividend would further reduce the current cash resources of the company," it said in a move to seek shareholders' support. In addition, staff have also taken pay cuts ranging from 10 to 50 per cent of the basic monthly salary, with the duration of the pay cut to be " reviewed on an on-going basis" . Non-executive and independent directors will also voluntarily take a 10 per cent reduction of the directors' fees for FY2019 compared to a year ago. The measures were taken to conserve the cash resources of the group in order to sustain business operations and ongoing projects to " ensure the viability of the group until the Covid-19 situation improves" . This comes as the group expects rental division, financial results and cash resources to be " progressively and seriously be negatively impacted as the outbreak continues" . The company also said that results of the group for FY2020 will " no doubt be adversely affected" by the pandemic. Shares of Bonvests closed flat at S$0.95 on Wednesday. https://www.businesstimes.com.sg/companies-markets/unusual%C2%A0limited-implements-pay-cut-and-other-moves-to-conserve-cash-reserves-amid |
| Good Post Bad Post | |
| 26-Mar-2020 09:59 |
Jumbo
/
Jumbo
Go to Message
|
|
x 0
x 0
|
DBS loses appetite for Jumbo amid Covid-19 restrictionsSamantha Chiew 25/03/2020, 12:20pm SINGAPORE (Mar 25): DBS is downgrading its recommendation on Jumbo to &ldquo hold&rdquo from &ldquo buy&rdquo previously with a lowered target price of 18 cents from 38 cents previously. In a Wednesday report, lead analyst Alfie Yeo says, &ldquo We were sideswiped by the rapid deterioration and severe restriction arising from Covid-19. While share price has taken a severe beating, we believe it could take time for operations to normalise, and we are hence downgrading Jumbo to &lsquo hold&rsquo .&rdquo In Singapore, travel restrictions and social distancing measures are currently in place, while China is experiencing a slowdown. Hence these are expected to deeply impact Jumbo&rsquo s FY20 earnings, such that its China business is expected to head back into losses from FY20. Overall the analyst has slashed the group&rsquo s FY20-21 earnings estimates by another 31-58%, factoring in lower revenue traction from Singapore and China, outlet rationalisation, and lower margins on relatively fixed operating costs. &ldquo We see Jumbo as the most exposed of all F& B plays in Singapore to Covid-19. We estimate that more than half of Jumbo Seafood Singapore&rsquo s customers are tourists and with restriction on short term visitors to Singapore, this would have a deep implication on its operations,&rdquo says Yeo. Additionally, with social distancing encouraged, discretionary trips to restaurants are expected to reduce in both Singapore and China. These will put pressure on earnings going forward. On the back of this, Yeo sees shifts in food consumption into supermarkets, and other format outlets and away from restaurant dining during this period, on the back of reduced visits by tourists and locals. &ldquo We anticipate a lower footfall in view of the wide-spread impact of Covid-19 situation. We now expect a recovery to take place further into the future, leading us to reduce our FY20 revenue forecast to $110 million, representing a 28% y-o-y decline from lower footfall and store rationalisation,&rdquo says Yeo. Meanwhile, the analyst has also factored in lower dividend payout ratio as he believes it will be prudent for the group to conserve cash during this challenging period. &ldquo We believe share price could lag the market if and when the current pandemic blows over. That said, its strong balance sheet and cash position (7 cents per share as of Sep 19 or about 38% of market cap) should see the group weather through this storm,&rdquo adds Yeo. On the other hand, DBS is positive on Koufu in the F& B space, as it operates foodcouts, which are mass market and resilient to downtrading. But it has some 10% of revenue from Macau and its key Rasapura foodcourt at MBS is dependent on tourists. These may pose earnings risk along with lower capacity at F& B foodservice outlets after social distancing among dine-in customers is now in force. DBS has a &ldquo buy&rdquo call on Koufu with a target price of 84 cents. As at 12.15pm, shares in Jumbo are trading at 20 cents or 1.9 times FY20 book with a dividend yield of 1.7%, while shares in Koufu are trading at 58 cents. https://www.businesstimes.com.sg/companies-markets/brokers-take-dbs-downgrades-jumbo-to-hold-on-covid-19-impact-to-earnings |
| Good Post Bad Post | |
| 26-Mar-2020 09:42 |
DFIRG USD
/
DAIRY FARM INTERNATIONAL
Go to Message
|
|
x 0
x 0
|
Worsening virus outbreak a reason to cash in on these two supermarket stocks: DBSUma Devi 25/03/2020, 11:32am SINGAPORE (Mar 25): With the escalating Covid-19 outbreak and more social distancing restrictions in place, there is good reason to believe that grocery retail stocks are rare beneficiaries of the situation. Analysts at DBS Group Research believe that supermarket sales will continue to rise as customers are forced to spend more time at home. In fact, random instances of panic buying are also likely to emerge, which will further bolster these stocks. In a Wednesday report, DBS analyst Alfie Yeo believes that Dairy Farm International (DFI) is one stock to watch. With its share price having plunged some 22% since Mar 6, Yeo attests that the counter is now not only &ldquo attractively valued&rdquo , but also has a dividend yield of more than 5% with a low risk of a dividend per share (DPS) cut. &ldquo Given that earnings would be supported by brisk sales during the Covid-19 outbreak, we believe downside for the stock is limited,&rdquo says Yeo. &ldquo A prolonged outbreak would continue to sustain demand for food and healthcare products as well,&rdquo he adds. As retailers around the world fall prey to supply chain disruptions, Yeo argues that DFI could well be a rare exception as its suppliers have varied procurement sources and are flexible enough to switch products or sources when required. To be sure, the group&rsquo s appointment of a new CEO had marked the beginning of a revamp. &ldquo Following the appointment of new CEO Ian McLeod in 2HFY2017, DFI&rsquo s management strategy includes building up its management capability, growth in China, maintaining a strong position in Hong Kong, revitalising Southeast Asia, and driving digital innovation,&rdquo says Yeo, adding that the group has already shuttered several underperforming and loss-making supermarket and hypermarket stores, mainly in Malaysia, Singapore and Indonesia. &ldquo We expect store performance to improve especially in Southeast Asia, as the new CEO implements plans including product range expansion, space management, pricing strategy, consolidated sourcing,&rdquo shares Yeo. However, Yeo is choosing to remain fairly cautious on this development for the time being, as these strategies will take time to implement and reap benefits. The brokerage is raising DFI&rsquo s FY2020-FY2021 earnings by 3% each, on the back of expectations that sales are going to be brisk for the group&rsquo s supermarket, and health and beauty segments. The brokerage has also raised its sales per store assumptions to reflect better demand for supermarket and healthcare products, and has increased its associates/JV estimates on the back of better performance and contributions from the group&rsquo s Yonghui superstores. &ldquo We believe any share price upside will be driven by earnings recovery over the longer term. Upside risk on the stock is based on DFI&rsquo s ability to turn in more efficient operations to drive earnings growth,&rdquo says Yeo. Another stock the brokerage is bullish on is supermarket operator Sheng Siong Group (SSG), and are banking on resilient sales for the group as more people are forced to stay home. DBS has revised its earnings forecast by 3-11% to factor in a strong performance of the group&rsquo s new stores. Yeo notes that SSG has an 18% slice of the local grocery retail market pie, and is also the second largest mass-market supermarket player behind NTUC Fairprice &ldquo We see Sheng Siong as a key direct beneficiary of supermarket demand in Singapore with almost all its earnings contribution derived domestically in Singapore,&rdquo says Yeo. In addition, Yeo identifies that Sheng Siong is among the few market players who are almost immune to external forces. With some 99% exposure to Singapore and only 1% of operations in China, Yeo says the group is well-placed to deal with the external shocks. &ldquo [SSG is] immune to China from which it receives very little contribution,&rdquo says Yeo. &ldquo Supermarket retail sales improved during SARS in 2003, and locals seeking to avoid crowds would support supermarket sales,&rdquo he adds. DBS has &ldquo buy&rdquo calls on both Dairy Farm International and Sheng Siong Group with respective target prices of US$4.70 and $1.45. The brokerage has also identified the duo as its top picks for the sector in light of their defensive plays and resilient demands. As at 11.19am, shares in Dairy Farm International are trading six cents higher, or 1.52% up, at US$4.02, while shares in Sheng Siong Group are trading flat at $1.10. https://www.theedgesingapore.com/capital/brokers-calls/worsening-virus-outbreak-reason-cash-these-two-supermarket-stocks-dbs |
| Good Post Bad Post | |
| 26-Mar-2020 09:41 |
Sheng Siong
/
Sheng Siong
Go to Message
|
|
x 0
x 0
|
Worsening virus outbreak a reason to cash in on these two supermarket stocks: DBSUma Devi 25/03/2020, 11:32am SINGAPORE (Mar 25): With the escalating Covid-19 outbreak and more social distancing restrictions in place, there is good reason to believe that grocery retail stocks are rare beneficiaries of the situation. Analysts at DBS Group Research believe that supermarket sales will continue to rise as customers are forced to spend more time at home. In fact, random instances of panic buying are also likely to emerge, which will further bolster these stocks. In a Wednesday report, DBS analyst Alfie Yeo believes that Dairy Farm International (DFI) is one stock to watch. With its share price having plunged some 22% since Mar 6, Yeo attests that the counter is now not only &ldquo attractively valued&rdquo , but also has a dividend yield of more than 5% with a low risk of a dividend per share (DPS) cut. &ldquo Given that earnings would be supported by brisk sales during the Covid-19 outbreak, we believe downside for the stock is limited,&rdquo says Yeo. &ldquo A prolonged outbreak would continue to sustain demand for food and healthcare products as well,&rdquo he adds. As retailers around the world fall prey to supply chain disruptions, Yeo argues that DFI could well be a rare exception as its suppliers have varied procurement sources and are flexible enough to switch products or sources when required. To be sure, the group&rsquo s appointment of a new CEO had marked the beginning of a revamp. &ldquo Following the appointment of new CEO Ian McLeod in 2HFY2017, DFI&rsquo s management strategy includes building up its management capability, growth in China, maintaining a strong position in Hong Kong, revitalising Southeast Asia, and driving digital innovation,&rdquo says Yeo, adding that the group has already shuttered several underperforming and loss-making supermarket and hypermarket stores, mainly in Malaysia, Singapore and Indonesia. &ldquo We expect store performance to improve especially in Southeast Asia, as the new CEO implements plans including product range expansion, space management, pricing strategy, consolidated sourcing,&rdquo shares Yeo. However, Yeo is choosing to remain fairly cautious on this development for the time being, as these strategies will take time to implement and reap benefits. The brokerage is raising DFI&rsquo s FY2020-FY2021 earnings by 3% each, on the back of expectations that sales are going to be brisk for the group&rsquo s supermarket, and health and beauty segments. The brokerage has also raised its sales per store assumptions to reflect better demand for supermarket and healthcare products, and has increased its associates/JV estimates on the back of better performance and contributions from the group&rsquo s Yonghui superstores. &ldquo We believe any share price upside will be driven by earnings recovery over the longer term. Upside risk on the stock is based on DFI&rsquo s ability to turn in more efficient operations to drive earnings growth,&rdquo says Yeo. Another stock the brokerage is bullish on is supermarket operator Sheng Siong Group (SSG), and are banking on resilient sales for the group as more people are forced to stay home. DBS has revised its earnings forecast by 3-11% to factor in a strong performance of the group&rsquo s new stores. Yeo notes that SSG has an 18% slice of the local grocery retail market pie, and is also the second largest mass-market supermarket player behind NTUC Fairprice &ldquo We see Sheng Siong as a key direct beneficiary of supermarket demand in Singapore with almost all its earnings contribution derived domestically in Singapore,&rdquo says Yeo. In addition, Yeo identifies that Sheng Siong is among the few market players who are almost immune to external forces. With some 99% exposure to Singapore and only 1% of operations in China, Yeo says the group is well-placed to deal with the external shocks. &ldquo [SSG is] immune to China from which it receives very little contribution,&rdquo says Yeo. &ldquo Supermarket retail sales improved during SARS in 2003, and locals seeking to avoid crowds would support supermarket sales,&rdquo he adds. DBS has &ldquo buy&rdquo calls on both Dairy Farm International and Sheng Siong Group with respective target prices of US$4.70 and $1.45. The brokerage has also identified the duo as its top picks for the sector in light of their defensive plays and resilient demands. As at 11.19am, shares in Dairy Farm International are trading six cents higher, or 1.52% up, at US$4.02, while shares in Sheng Siong Group are trading flat at $1.10. https://www.theedgesingapore.com/capital/brokers-calls/worsening-virus-outbreak-reason-cash-these-two-supermarket-stocks-dbs |
| Good Post Bad Post | |
| 26-Mar-2020 09:32 |
DBS
/
DBS
Go to Message
|
|
x 0
x 0
|
DBS downgrades mm2 Asia as Singapore shutters cinemas to curb Covid-19
Amala Balakrishner 25/03/2020, 3:06pm SINGAPORE (Mar 25): DBS Group Research is downgrading its call on mm2 Asia to &ldquo fully valued&rdquo from &ldquo hold&rdquo , while reducing its target price to 10.7 cents from 30 cents previously. The revised rating sees DBS expecting mm2 to yield a negative total return of more than 10% over the next 12 months. This comes after the government on Tuesday announced that all entertainment venues, including cinemas, will be closed from March 26 to April 30 to contain the spread of the coronavirus. With the filmmaker already reeling from lower demand in China, DBS analyst Ling Lee Keng believes this could further aggravate mm2 Asia&rsquo s near-term outlook. The group has a presence in countries including China, Hong Kong, Taiwan, Singapore and Malaysia. In Malaysia, mm2 is the fourth largest cinema player with a total of 18 cinemas. The group has also acquired all eight Cathay cinemas in Singapore. On top of the lockdown in Malaysia and the latest measures in Singapore, the cinema business is also expected to be hit by the postponement of scheduled Hollywood mega-movie releases, Ling notes. &ldquo We expect cinemas to continue to adhere to the social distancing regulation even upon lifting of the temporary closure measure. Cinemas would need to have alternate seat arrangements, which implies a 50% cut in available seats,&rdquo she says. Meanwhile, mm2 is expected to be impacted by 39%-owned concert and events producer UnUsUaL. &ldquo UnUsUaL has postponed all scheduled concerts due to the clampdown of large-scale gatherings in most or all its target countries,&rdquo says Ling. She adds that the company has also cut its discretionary spending and reduced payrolls by 10-20% to cope with the slowdown in its earnings. Accounting for the worsening impact from Covid-19, especially in regions outside China, Ling has slashed mm2&rsquo s earnings forecasts for FY2020 ending March and FY2021 by 26% and 90% respectively. &ldquo Our assumptions include gradual improvement in the fight against Covid-19 from 2HFY2021F onwards and a recovery in FY2022F,&rdquo says Ling. &ldquo We also expect the group to benefit from more government support packages to help to cushion the impact.&rdquo While the group nurses a halt in its operations in Singapore and Malaysia, Ling says stabilising conditions in China could see a revival in demand there. However, she warns that the nascent recovery in China could take a turn for the worse as the country tightens its quarantine rules for overseas travelers. On a positive note, she observes that around 80% of mm2&rsquo s current productions has resumed operation in regions not affected by the lockdown. The group has also set its sights on building a library of films and targeting online platforms, similar to streaming service provider Netflix. &ldquo FY2020F could still see an increase in revenue, partly helped by projects completed earlier,&rdquo Ling says. Going forward, though, she opines that funding for projects may not be as readily available amid the weaker global economy. For now, mm2 expects to be cash flow positive, as the collection of trade receivables has not been significantly affected so far. &ldquo However, given the expected prolonged negative impact from Covid-19, we would not rule out the possibility of weakening cashflows,&rdquo Ling says. mm2 in a regulatory filing on Tuesday had announced that it has refinanced its loan facility through a five-year secured loan of $115 million with United Overseas Bank (UOB) on March 21. Ling notes that close to $100 million in debt is due in 2021. &ldquo mm2 moved into a net debt position following the acquisition of Cathay Cineplexes for $230 million in November 2017, that was financed mainly via debt,&rdquo says Ling. &ldquo The high interest expense has affected the bottomline. Going forward, mm2 would have to deleverage in order to boost earnings.&rdquo As at 3.01pm shares in mm2 Asia are trading 13.7% higher, or up 1.7 cents, to 14.1 cents, while shares of UnUsUaL are up 2.6% at 11.9 cents. https://www.theedgesingapore.com/capital/brokers-calls/dbs-downgrades-mm2-asia-singapore-shutters-cinemas-curb-covid-19 |
| Good Post Bad Post | |
| 26-Mar-2020 09:27 |
Sen Yue
/
Battery Recycle(LITHIUM related) Watching
Go to Message
|
|
x 0
x 0
|
Nomura invests US$25m in Singapore waste management firm Blue PlanetTUE, MAR 24, 2020 - 1:46 PM WASTE management firm Blue Planet Environmental Solutions has raised US$25 million from Japanese brokerage and investment bank Nomura, the company said on Tuesday. Singapore-headquartered Blue Planet will use the funds to expand its products and services in Asia. Founded in June 2017, the company provides services for the collection, transportation, segregation, processing and treatment of waste. It is able to, directly or indirectly, meet 15 of the United Nations' 17 Sustainable Development Goals, and engages with governments and companies in Asia to help them " realise the benefits of sustainable waste management" , Blue Planet said. In the past 17 months, Blue Planet has acquired various waste management-related companies including Rudra Environmental Solutions in India, Globecycle Holding in Malaysia and Smart Creative Technologies in the UK. https://www.businesstimes.com.sg/garage/nomura-invests-us25m-in-singapore-waste-management-firm%C2%A0blue-planet |
| Good Post Bad Post | |
| 26-Mar-2020 08:58 |
Aspen
/
GEM STONE IPO at $0.23??
Go to Message
|
|
x 0
x 0
|
Aspen' s business operations in Malaysia remain closedWED, MAR 25, 2020 - 9:59 PMMalaysia-based developer Aspen (Group) Holdings said on Wednesday that it will continue to close its headquarters, offices and sales galleries in Malaysia, and halt construction works for ongoing projects, with Malaysia having extended its movement control order till April 14. The group said that it does not expect any material financial impact on the earnings per share and net asset value per share for the financial year ending Dec 31, 2020. But the impact of the pandemic on the global and domestic economy is expected to " impair the group' s earnings capacity and ability to secure new sales for ongoing and new projects in the next 12 months" . Employees will continue to support business operations from home where possible, and the firm will resume business operations and construction works fully once the movement control order is lifted, subject to any further directive from the government of Malaysia. Aspen shares closed up 9.6 per cent to S$0.08 on Wednesday. |
| Good Post Bad Post | |
| 25-Mar-2020 09:34 |
DBS
/
DBS
Go to Message
|
|
x 0
x 0
|
DBS suspends in-person registrations for AGM amid virus outbreakTUE, MAR 24, 2020 - 2:26 PM | UPDATED TUE, MAR 24, 2020 - 10:03 PM
DBS will suspend registrations for in-person attendance at its annual general meeting (AGM) next week, after the government laid down stricter measures on Tuesday to contain the Covid-19 outbreak, which include deferring or cancelling all events and mass gatherings, regardless of size. The meeting is scheduled to be held at 2pm on March 31. Earlier on Tuesday, the bank had announced that it will accommodate up to 249 pre-registered physical attendees - in line with the health ministry' s earlier stipulation to suspend events and gatherings with 250 or more participants - while putting in place measures to limit contact among these attendees and providing a live webcast option. These plans were waylaid, following the new slew of safe distancing measures announced late Tuesday evening. In response to queries, a DBS spokesperson said: " With the Ministry of Health&rsquo s stricter measures announced in the evening of 24 March, we are re-assessing our AGM plans. We are suspending registrations for in-person attendance, but will continue to accept registrations for the live webcast option at the following website until further notice." The bank plans to update its shareholders on revised meetings plans by Thursday. https://www.businesstimes.com.sg/companies-markets/dbs-suspends-in-person-registrations-for-agm-amid-virus-outbreak |
| Good Post Bad Post | |
| 25-Mar-2020 09:30 |
SGX
/
SGX
Go to Message
|
|
x 0
x 0
|
SGX will not ban bearish bets, priority is to keep markets accessibleWED, MAR 25, 2020 - 5:50 AMCircuit breakers activated on March 13 by 14 SGX-listed stocks, while only five stocks triggered it on March 16 Singapore SINGAPORE Exchange (SGX) will not restrict bearish bets even as several European exchanges as well as Bursa Malaysia have banned short-selling amid abnormally high market volatility. And while some trading across various global venues has been intermittently halted in... https://www.businesstimes.com.sg/companies-markets/sgx-will-not-ban-bearish-bets-priority-is-to-keep-markets-accessible |
| Good Post Bad Post | |
| 25-Mar-2020 09:25 |
ManulifeReit USD
/
Manulife US REIT IPO
Go to Message
|
|
x 0
x 0
|
Manulife US Reit blames price fall on fund sell-off, private bank margin calls WED, MAR 25, 2020 - 5:50 AM Singapore THE manager for Manulife US Real Estate Investment Trust blames the Reit' s " horrific" price drop, which " wiped out four years of work" , on mass selling by index funds and exchange traded funds, margin calls from private banks, and funds redemption and switching to other counters... https://www.businesstimes.com.sg/companies-markets/manulife-us-reit-blames-price-fall-on-fund-sell-off-private-bank-margin-calls |
| Good Post Bad Post | |
| 25-Mar-2020 09:22 |
SGX
/
SGX
Go to Message
|
|
x 0
x 0
|
SGX waives shareholder approval requirement for Golden Energy' s A$70m JV investmentTUE, MAR 24, 2020 - 9:27 AM GOLDEN Energy and Resources will not require shareholder approval for its A$70 million (S$59 million) investment in a joint venture (JV) to acquire the Ravenswood gold mine in Australia, it said on Monday night. This comes after the Singapore Exchange (SGX) granted it a waiver, and Golden Energy' s 86.9 per cent majority shareholder PT Dian Swastatika Sentosa had given its support for the acquisition. The waiver stated Golden Energy was required to consult SGX on whether shareholder approval was needed for any investment beyond the initial A$70 million. In explaining the grounds for seeking the waiver, Golden Energy said Indonesia-based coal firm PT Dian Swastatika Sentosa had provided an irrevocable undertaking to vote in favour of the gold mine acquisition and any further capital commitment. It added there was no material change in its risk profile due to the JV investment and gold mine acquisition, and the transactions are in the interest of the company and its shareholders. https://www.businesstimes.com.sg/companies-markets/sgx-waives-shareholder-approval-requirement-for-golden-energys-a70m-jv-investment |
| Good Post Bad Post | |
| 25-Mar-2020 09:19 |
Sim Leisure
/
Sim Leisure...Hv Fun Here?
Go to Message
|
|
x 0
x 0
|
Sim Leisure enters into agreement to place out sharesTUE, MAR 24, 2020 - 10:25 PM SINGAPORE-LISTED theme park developer and operator Sim Leisure Group announced on Tuesday that it has entered a subscription agreement with Malaysia-based food and beverage group Tropika Kiara for over 13.4 million new shares. This comes as Sim Leisure looks to embark on expansion initiatives in Malaysia and overseas with the upcoming opening of the group' s first indoor recreational centre at Paradigm Mall in Petaling Jaya by June 30. The move could also potentially give Sim Leisure " access to new markets, new customers as well as business opportunities" . Tropika Kiara will hold over 25.8 million shares, representing 17.5 per cent of the enlarged share capital of the company upon successful allotment and issuance of the shares. The deal will see the Sim Leisure raising an estimated S$2.92 million in net proceeds from the subscription price at S$0.22 per share, the company said. " The net proceeds are intended to be used for the funding of potential growth and expansion or diversification and general working capital of the company," it noted in its regulatory filing. https://www.businesstimes.com.sg/companies-markets/sim-leisure-enters-into-agreement-to-place-out-shares |
| Good Post Bad Post | |
| First < Newer 14541-14560 of 14616 Older> Last |