UPDATE: Singapore stocks to watch Monday: DBS, Frasers Property, M1, Hyflux, DeClout, Procurri

DBS ATM in SingaporeDBS ATM in Singapore

This article was originally published on Sunday, 17 February 2019 at 1:21 A.M. SGT; it has since been updated to include DBS and Frasers Property, and to update Procurri.

These are Singapore companies which may be in focus on Monday, 18 February 2019:

DBS

Singapore’s largest bank DBS said on Monday that its fourth quarter net profit rose 8 percent on-year to S$1.32 billion, boosted by loan growth and a higher net interest margin (NIM), which was partially offset by a decline in treasury markets income. The results missed some analysts’ forecasts.

Read more: UPDATE: DBS 4Q18 net profit rose despite wealth management declines

M1

Konnectivity’s bid for M1 has become unconditional after one of the Singapore telco’s major shareholders, Malaysia-based Axiata, tendered its shares, bringing its holding to more than 50 percent.

Read more: Takeover offer for M1 turns unconditional as Axiata tenders stake

Frasers Property

Frasers Property said on Monday it would acquire around 94,000 shares, or a 17.83 percent stake, in Tiong Bahru Plaza owner PGIM Real Estate AsiaRetail Fund for around S$356.4 million.

Read more: Frasers Property to acquire 18 percent stake in Tiong Bahru Plaza owner

Hyflux

Hyflux CEO and Executive Chairman Olivia Lum and the company’s board of directors said on Saturday that if the restructuring plan is approved, they would contribute all of their shares and entitlements as holders of preference shares and perpetual capital securities, or the PNP, to be distributed to other PNP holders.

Read more: Hyflux CEO Lum to contribute her shares to perpetual security and preference share holders

DeClout and Procurri

DeClout entered a deal to potentially sell 36.32 million Procurri shares for S$0.33 each to Novo Tellus PE Fund 2, a private equity firm investing in Southeast Asia-based technology and industrial companies, it said in a filing to SGX on Friday.

If the deal proceeds, the aggregate consideration will be S$11.99 million in cash, DeClout said, adding that it would earmark up to around S$4.2 million to repay external borrowings, with the remaining S$7.8 million set to fund merger and acquisition activities.

The sale proceeds would be around S$6.3 million over the book value of the share sales as of 30 September, it said.

DeClout will still hold around 48 million Procurri shares, it said.

Procurri requested a trading halt of its shares on Monday, pending an announcement.

Read more about Procurri and DeClout.

Singapore Post

Singapore Post’s indirect wholly owned subsidiary SP Jagged Peak, or SP JP, acquired the remaining shares in Jagged Peak it didn’t already own on Friday for an initial purchase price of US$10.59 million, or around S$14.39 million.

It will also make another payment of up to US$1.75 million, or around S$2.38 million, which will take into account an outstanding customer debt owed to Jagged Peak’s wholly owned subsidiary Jagged Peak Canada, based on the actual amount of the debt recovered by 13 February 2020, it said.

Read more about Singapore Post.

JUMBO Group

Iconic Singapore chili crab restaurateur JUMBO Group entered a joint venture with TCI, a subsidiary of Kosdaq-listed F&B player Didim, to introduce JUMBO Seafood outlets in South Korea, it said in a filing to SGX on Friday.

Read more: JUMBO enters joint venture to open JUMBO Seafood outlets in South Korea

Spackman Entertainment Group

Spackman Entertainment Group warned on Friday that it expected to report a net loss for 2018, swinging from a year-ago net profit, due to partial recognition of the share of profit for acting as the producer of its film “Default,” which was released in late-November. That profit will only be fully recognized in the first half of 2019, the South Korea-based entertainment company said.

It added that it expects its share of profit for acting as producer of “Default” and its return on investment as a passive investor in the film would contribute positively to its results in the first half of 2019.

On 14 December, Spackman said Default has grossed US$22.3 million in box revenue after selling 3.07 million tickets since its release in South Korea on 28 November.

Read more about Spackman Entertainment.

Blackgold Natural Resources

Blackgold Natural Resources said late on Sunday “it has come to the company’s attention” that during a press conference by Indonesian anti-corruption authorities, the Komisi Pemberantasan Korupsi (KPK) on Friday, the company’s Executive Chairman and CEO Philip Cecil Rickard was designated as a witness for Idrus Marham.

Marham is a named suspect in a case over bribery allegations related to the Riau-1 project, it said in a filing to SGX on Sunday.

As a result, KPK has issued a travel ban on Rickard for six months ending 27 June, it said, but added that his travel documents weren’t impounded and his communications weren’t withheld, Blackgold said.

Blackgold said it “wished to emphasize” that Indonesian courts determined in December that some of a subsidiary’s bank accounts, which had been held for examination by the KPK, were not related to the ongoing investigation and earlier this month, the accounts were released.

Read more: Blackgold Natural Resources CEO, CIO called as witnesses in Riau-1 probe

Isetan (Singapore)

Isetan (Singapore) warned on Friday that it expected to report a net loss for 2018 due to the challenging environment for some of its department stores and the impairment of those stores’ assets.

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