UPDATE: Singapore stocks to watch Monday: Hi-P, Singtel, Cache Logistics, Suntec REIT, Ezion

Singapore street scene at Fullerton area with Marina Bay Sands; taken September 2018.Marina Bay Sands looms over Singapore’s Fullerton area.

These are the Singapore stocks which may be in focus on Monday 15 October 2018:

Hi-P International

Hi-P International on Sunday issued a profit warning for its third-quarter results.

“Based on a preliminary review of the group’s performance, the board of directors of the company wishes to inform as follows: The group expects lower revenue and profit in the third quarter of 2018 as compared to the third quarter of 2017,” it said in a filing to SGX on Sunday.

Read more: Hi-P issues profit warning for third-quarter results

Singtel

Singtel said on Friday that it subscribed for and was issued 40 million ordinary shares in its wholly owned subsidiary Singtel ICT for a total S$40 million, which increased Singtel ICT’s share capital to S$597.88 million from S$557.88 million.

In turn, Singtel ICT subscribed for and was issued 40 million shares in the capital of its wholly owned subsidiary Singtel Enterprise Security (SES SG) for a total of S$40 million, increasing SES SG’s share capital to S$645.02 million from S$605.02 million, it said in the filing to SGX after the market close on Friday.

SES SG has also subscribed for and was issued 40 million shares in its wholly owned subsidiary Singtel Cyber Security (Asia Pacific), or SCS (Asia Pacific), for a total of S$40 million, increasing SCS (Asia Pacific)’s share capital from S$2 to S$40,000,002, it said.

Singtel ICT, SES SG and SCS (Asia Pacific) are investment holding companies, it said.

SCS (Asia Pacific) subscribed for and was issued 20 million shares for S$20 million in its wholly owned subsidiary Singtel Cyber Security (Singapore), or SCS Singapore, which had capital of S$2 before the transaction, it said. SCS Singapore is mainly involving in providing information technology cyber-security consultancy and the sale of cyber-security software, hardware and peripheral equipment, it said.

Cache Logistics Trust

Cache Logistics Trust’s manager said on Friday that it would divest Jinshan Chemical Warehouse in China for 87 million yuan, or around S$17.8 million, above its valuation, to Zhejiang Yongtai Logistics.

Read more: Cache Logistics Trust divests Jinshan Chemical Warehouse for 87 million yuan

ESR-REIT and Viva Industrial Trust

ESR-REIT’s manager said on Monday that it set the effective date for its merger with Viva Industrial Trust for Monday, with the issue of consideration units set for 17 October and the delisting on 22 October.

Read more: ESR-REIT: Sets effective date for merger with Viva Industrial Trust

Ezion Holdings

Ezion Holdings said on Saturday that the conversion price of its series B 0.25 percent convertible bonds due 2023 and its amended series 008 subordinated perpetual securities, which were both convertible into the company’s ordinary shares, have been reset to the minimum conversion price of S$0.2763.

The conversion price for the series B and the amended series 008 securities will apply from 13 October 2018 to 12 April 2019, after which the conversion price will be reset again, it said in a filing to SGX on Saturday.

As of 13 October, no bonus warrants will be issued to security-holders upon converting the series B and amended series 008 securities, it said.

Suntec REIT

Suntec REIT’s manager, ARA Trust Management (Suntec), said on Friday the trustee entered into a S$500 million facility agreement with various banks to refinance part of its outstanding borrowings and/or for general working capital purposes.

The facility includes a condition that it would be a default if the manager ceases to be an affiliate of ARA Asset Management or if the manager ceases to the Suntec REIT manager and the replacement isn’t appointed in accordance with the trust deed terms or is not approved by the majority lenders, it said in a filing to SGX after the market close on Friday.

CapitaLand

CapitaLand said on Friday that it established a wholly owned subsidiary in Singapore called Credo I China GP for the principal activity of investment holding. The subsidiary will have issued and paid-up share capital of US$1, comprising one ordinary share issued at US$1, or around S$1.37, it said in a filing to SGX on Friday.

Hi-P International

Hi-P International said on Sunday that Electric Connector Technology (ECT) has agreed to acquire a 60 percent stake in Hi-P’s wholly owned subsidiary Hi-Flex (Suzhou) Electronics, or Hi-Flex SZ, for 112.5 million yuan, via the subscription to new equity.

Read more: Hi-P sells controlling stake in Hi-Flex SZ to ECT

Silverlake Axis

Silverlake Axis Executive Director Goh Shiou Ling made a maiden acquisition of 240,400 shares of the company at S$0.415 each in the market, giving her a direct interest of 0.009 percent in the company, it said in a filing to SGX after the market close on Friday.

Lian Beng Group

Lian Beng Group said on Friday that its fiscal first quarter net profit fell 38.9 percent on-year to S$6.97 million from S$11.39 million in the year-earlier quarter due to the adoption of new accounting rules.

Read more: Lian Beng Group: Fiscal 1Q net profit down 39 percent on new accounting rules

Sasseur REIT

Sasseur REIT’s manager said on Friday that the Chongqing Outlets’ sales for 16 days of the anniversary sale event exceeded 325 million yuan, with first day sales of 130 million yuan, a one-day sales record and up from around 90 million yuan on the year-earlier first day of the sales promotion.

“The sales of Chongqing Outlets have been growing steadily throughout the past 10 years of the Outlet mall’s operations,” Anthony Ang, CEO of the REIT manager, said in the statement filed to SGX on Friday. “Coupled with the double-digits growth performance of the younger
Outlets in the REIT’s portfolio, we expect it to contribute significantly to the REIT’s EMA rental income for the third quarter this year.”

EMA stands for entrusted management agreement, under which 70 percent of Sasseur REIT’s revenue is fixed, increasing at 3 percent a year, while 30 percent of its revenue is set at 4-5 percent of tenant sales.

Stamford Land

Stamford Land said in a filing to SGX after the market close on Friday that under the terms of the settlement, the company on Thursday discontinued legal proceedings against Manohar P. Sabnani, who is a minority shareholder.

Sakae Holdings

Sushi restaurateur Sakae Holdings said in its annual report released on Friday that its auditor issued a qualified opinion on its financial statements in the wake of a soured commodity sugar transaction and the outcome of a lawsuit over alleged misappropriation of funds from an associate.

Read more: Sakae Holdings auditor issues qualified opinion amid fishy sugar deal and Griffin suit

TEE International

TEE International reported on Friday that its net loss attributable to owners more than quadrupled to S$3.85 million in the fiscal first quarter, from S$918,00 in the year-earlier period amid expenses related to TEE Land.

Read more: TEE International: Fiscal 1Q net loss more than quadruples on TEE Land expenses

TEE Land

Tee Land said on Friday that it swung to a S$2.83 million loss attributable to owners in its fiscal first quarter, from a year earlier income of S$138,000, despite a rise in revenue amid higher qualifying certificate (QC) charges.

Read more: Tee Land: Swings to fiscal 1Q loss amid QC charges and Teck Guan Ville option fee

SLB Development

Property developer SLB Development reported it swung to a fiscal first quarter net loss of S$2.79 million from a year-earlier net profit of S$3.65 million as the adoption of new accounting rules lowered its recognized revenue.

Read more: SLB Development: Swung to fiscal 1Q net loss amid accounting rule changes

HRnetGroup

HRnetGroup said in a filing to SGX on Friday that it incorporated RecruitFirst Staffing, or RFSM, with an initial share capital  of 2.00 ringgit, with 1.00 ringgit contributed by HRnetGroup’s wholly owned subsidiary, HRnet One, and the other from Daniel Choong Seng Kong.

Choong has been operating as co-owner of HRnetGroup’s Malaysian businesses since 1999 and will be heading RFSM, which will provide flexible staffing services, the filing said.

ASL Marine

ASL Marine said on Friday that it planned to work closely with Securities Investors Association (Singapore), or SIAS, to establish an informal steering committee of holders its series 006 and series 007 notes issued under its S$500 million multicurrency debt issuance program.

“SIAS has indicated a willingness to take a lead role in the setting up of the Informal Steering Committee and in facilitating its work moving forward,” it said in a filing to SGX after the market close on Friday. A maximum of 10 noteholders registered with SIAS will be appointed to the committee, it said.

ASL Marine has said it is reviewing its financing and capitalization structure, and wants to pursue a process “fair and equitable” to stakeholders as it reviews potential options for refinancing the notes.

In September, shipbuilder ASL Marine had said it was seeking additional credit lines to expand its ship repair operations.

Midas Holdings

Midas Holdings said on Friday that Liaw Kok Feng, age 40, has resigned as chief financial officer with effect from 12 October due to health reasons.

“Liaw has confirmed that he has no disagreement with the board and there is no matter in relation to his resignation that needs to be brought to the attention of the shareholders of the company or the Stock Exchange of Hong Kong,” the statement on Friday said.

ValueMax

ValueMax said on Friday that its associated company, SYT Pavilion, last week subscribed for 4 million new shares of 1 ringgit each in the capital of Mutiara Pesona, in a deal funded via a cash injection.

The investment made Mutiara Pesona a wholly owned subsidiary of SYT Pavilion with a paid of share capital of 4 million ringgit, it said in a filing to SGX after the market close on Friday.

Rex International

Rex International said on Monday that its 90 percent-owned subsidiary Lime Petroleum entered a deal to divest its 20 percent interest in the Barents Sea licence PL850, which it called a non-core asset, to a third party.

Read more: Rex International: Subsidiary divests stake in Barents Sea asset

This article was originally published on Monday 15 October 2018 at 6:56 A.M. SGT; it has since been updated to include items on ESR-REIT, Viva Industrial Trust and Rex International. 

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