Singapore stocks to watch Friday: City Developments, Hotel Properties

City Developments signage on construction hoardingCity Developments signage on construction hoarding

These are the Singapore companies which may be in focus on Friday, 29 March 2019:

City Developments

A joint venture comprising Hong Leong Holdings and City Developments placed the highest bid of S$383.53 million for a residential site in Sims Drive at a government land tender.

The bid for the 99-year leasehold site near Aljunied MRT station works out to S$732 per square foot per plot ratio, CDL said in a statement late Thursday.

The joint venture will explore building a residential development with several 17- or 18-storey blocks comprising about 560 units, added, which has a 40% stake in the joint venture.

Hotel Properties

Hotel Properties said late on Thursday that it will invest 20.85 billion yen, or about S$257 million, in a hotel cum condominium development in Osaka.

HPL will take a 75% stake in a joint venture entity to be formed with Tokyo Tatemono to own and develop a new hotel with up to 180 rooms. It will also buy a 25% interest in a housing development comprising up to 450 units.

Both the hotel and the condominium components will be part of a proposed 50-storey mixed development project with a total gross floor area of about 80,000 square metres. Tokyo Tatemono owns the freehold site in Osaka.

Hyflux

Indonesia’s SM Investments (SMI) has not endorsed the rescue deal that Hyflux intends to put to a creditors’ vote on April 5, the Business Times reported on Friday.

Hyflux said on Tuesday that the S$271 million it plans to use from SMI’s potential cash injection of S$530 million to pay creditors had been agreed by both parties prior to the publication of the schemes on Feb 16.

“SMI recently become aware of new material information on the Hyflux group that significantly increases the working capital requirements of the group. In light of the new material information disclosed to SMI, it has been reviewing the allocation of the investment for the working capital requirements of the Hyflux group,” Business Times quoted SMI as saying.

“This will in turn affect the amount available for settlement to creditors,” the Indonesian group added.

SMI is controlled by the Salim and Medco groups.