Frasers L&C Tr    Last:0.985    -0.005

Frasers Logistic & Industrial Trust IPO

2Q17/18 reporting on coming Monday, after trading,... let' s see what happens to the dpu. Then EGM on the following morning, on Tuesday,.. good luck to all investors,...

halleluyah      ( Date: 04-May-2018 08:56) Posted: next week div...

 

next week div...

 

Hehe, bro,....

SimpleTrade      ( Date: 30-Apr-2018 17:42) Posted: Never bother to attend any agm egm of reits. unless they. serve good buffet.

 

Never bother to attend any agm egm of reits. unless they. serve good buffet.

 

Hehe, bro,... err, maybe I' m not going to the EGM,... I think FLT is in good hands, the acquisition is good, the assets are good. I will subscribe to what they will be offering. Another reason that I may not be able to go is because I have my hands full with another three corporate actions in my holding, namely
1) Mapletree Logistics Trust.
2) Mapletree Industrial Trust,... and the biggest hedache is going to come from,...
3) Manulife US REIT. - Biggest problem here,....

SimpleTrade      ( Date: 29-Apr-2018 16:22) Posted: bro, rem to question them any doubts you have. would be gd u can share over here.

 

bro, rem to question them any doubts you have. would be gd u can share over here.

 

Hmm,... will know soon,... on EGM Day,...
1) the New Unit price, and
2) the ratio.

Then can decide how many to subscribe, but we should now be doing some calculations first,.... how much is worth to pay for,...

 

Unless something bad really happens, else think 94cts very unlikely. Also, the 2 investors for pte placement are highly related to FLT. So...

The forex rate affects the dpu distribution. Stock price will also fluctuate along. Probably thats why they buy european pty imstead of more auz pty to diversify.

Maybe good to collect at cheaper price now. for forex gain, stock price gain and dpu .

 

Some unfolding weaknesses with the coming Pref Offering :-
1) if we look at the Sensitivity Analysis, the lower the New Unit price, the lower our dpu accretion number. At an Issue Price of 94c, this acquisition is NOT dpu-accretive anymore. Hence, can' t drop too low too.
2) if we look at page 101 of the ann' t booklet, bullet (7) says the DPU after the proposed transaction would be 1.83c IF the exchange rate is A$1 to S$1.06.But today, the exchange rate has dropped to A$1 equalling almost S$1.00. Hence, can' t get 1.83c anymore. If the DPU remains at A cts 1.73c, we will receive only 1.73c of post-transaction dpu.

But will the A cts dpu increase because of an incaresing Euro-AUD exchange rate ? If the A cts can increase here, then it might ' balance back' ,...

Just the two I noticed this afternoon in between my work,....

 

Yes, ST,...  but it would be good if the EFR price can go nearer to our everage price,.... Then we can subscribe all allocated so that we can ' push' our price down nearer to our holding price,....

 

note that in the circular, the $1 is termed as "illustrative price ". Nothing is fixed yet.

 

Dropped to 1.06 today,... wondering what will happen if this drops to 1.00, the price of each Pref Unit. Lol,... then what' s the point of the Pref Offering already ?

 

Should be a fairly good deal , just like the rest of the reits issuing rights.

Mainly the gain qill be from the price difference , the issue price and the market price.

 

If,... one quarter can provide a 0.03c dpu increment, then 4 quarters of dpu increments = 0.12c.

The Trailing 12-month dpu in the last 12 months = 7.07c, giving us, at average price 97c a yield of 7.29%. Add-in 0.12c into the 7.07c = 7.19c. At 7.19c, our dpu will come to 7.41%. Isn' t this good for us ?? Or not good enough ??

Add to this,... stability of dpu, a growing REIT, and a REIT with international properties, diversified over 3 foreign countries.

SimpleTrade      ( Date: 25-Apr-2018 12:44) Posted: I think very hard to know which factor causes the slight dip in share price. There is a massive exile of funds from reits recently due to the rising interest rate. Many reits has actually retreated from the recent peak. 1.8 to 1.83 , actually not very attractive. Rem that tthis is 0.01 cent increment, not 0.01 dollar. Only plus point is the return is stable

 

Yes, Clipper,... agreed very much. However,... I' m afraid Simpletrade has a good point too, by going one step futher into the amount of dpu incremental dpu,.... 

 

the annoucement by CEO states that the acquisition of these properties is DPU accretive. I am vested.

chengwh1      ( Date: 25-Apr-2018 12:28) Posted: At our average holding price of $0.97, we are still able to tolerate any dips in pricings,... I noticed after the ann' t of this major acquisition,  the price of FLIT seems to be dropping,... is it because mkt is anticipating the Pref Offering Price to be at 1.00, hence, the drop towards 1.00, or is it because of the heavy dilution  that may be experienced by retail investors here ? According to the proforma calculation,.... AFTER the 2 placements and our Pref Offring, there is still going to be an increase in dpu from 1.80c to 1.83c. Looks ALRIGHT TO ME....    How abt you guys,... ? If the dpu remains constant, OR WORSE, GOES LOWER,... then it' s a no-no,....

 

I think very hard to know which factor causes the slight dip in share price. There is a massive exile of funds from reits recently due to the rising interest rate. Many reits has actually retreated from the recent peak.

1.8 to 1.83 , actually not very attractive. Rem that tthis is 0.01 cent increment, not 0.01 dollar. Only plus point is the return is stable

 

At our average holding price of $0.97, we are still able to tolerate any dips in pricings,... I noticed after the ann' t of this major acquisition,  the price of FLIT seems to be dropping,... is it because mkt is anticipating the Pref Offering Price to be at 1.00, hence, the drop towards 1.00, or is it because of the heavy dilution  that may be experienced by retail investors here ?

According to the proforma calculation,.... AFTER the 2 placements and our Pref Offring, there is still going to be an increase in dpu from 1.80c to 1.83c. Looks ALRIGHT TO ME....    How abt you guys,... ? If the dpu remains constant, OR WORSE, GOES LOWER,... then it' s a no-no,....
 

 

Yeah, I think they are bringing in FPL and TCC group.

Just a matter of structuring the placement,. more to private, you need to give them discounts. Retail investors got dilution.

Balancing, just have to let the reit mgr do theirjob.

 

Personally - I doubt it will be 1 for 2 or even 1 for 3.  There is too much risk for the underwriter of the rights, given rising  treasury yields and rates,  and the rights cannot be sold on the market - meaning that the risk of non-take up are even higher and thus requiring another separate fund raising exercise.  The rights will likely coincide with a placement, to placate minorities, which is a nice gesture.  Savvy REITS managers know that minorities hate being left out of a discounted share issue, and this will go down better.  Share prices will suffer in the long term otherwise.  Only my view and DYODD.

SimpleTrade      ( Date: 24-Apr-2018 23:33) Posted: The funding for this round is quite substantial and my guess is 1 for 3 will be more likely and may even be 1 to 2.