Stocks in focus on Monday, 18 October 2021
- Singapore Airlines projected passenger capacity would reach 37 percent of pre-Covid levels by year-end
- SGX and UOB Asset Management launched a green REIT index focused on Asia
- Units of ESR-REIT and ARA LOGOS Logistics Trust resume trade after merger announcement
- Others: Nanofilm Technologies International, United Hampshire US REIT, Ntegrator International, VCPlus, Azeus Systems, Kim Heng, Guoan International, Clearbridge Health, Abundance International, Jasper Investments, Ezion Holdings, Goodland Group, AnnAik Ltd., and F J Benjamin.
This item was originally published on Saturday, 16 October 2021 at 18:07 SGT; it has since been updated to include the trading halts on ESR-REIT and ARA LOGOS Logistics Trust being lifted. In addition, items on Eagle Hospitality Trust, Metech International, Ntegrator, Procurri Corp., Hong Lai Huat Group, and BRC Asia have been included.
Singapore Airlines group has projected its passenger capacity would reach around 37 percent of pre-Covid levels by its fiscal third quarter, which ends 31 December, the Singapore flag carrier said in a filing to SGX Friday.
Singapore Exchange (SGX) and UOB Asset Management
Singapore Exchange (SGX) and UOB Asset Management (UOBAM) have tied up to create the iEdge-UOB APAC Yield Focus Green REIT index to track listed real estate investment trusts (REITs) in Asia offering higher dividend yields and better environmental practices, the companies said in a joint statement Friday.
ESR-REIT and ARA LOGOS Logistics Trust
ESR-REIT has proposed acquiring ARA LOGOS Logistics Trust, or ALOG, for a total consideration of around S$1.4 billion in cash and shares, in a deal which will create an industrial REIT with around S$5.4 billion in assets across Singapore and Australia.
Units of both REITs resumed trade on Monday. ALOG units were down 4.28 percent at S$0.895 at 9:09 a.m. SGT, while ESR-REIT was up 4.3 percent at S$0.485.
Nanofilm Technologies International
Shi Xu, founder and executive chairman of Nanofilm Technologies International, acquired 200,000 shares of the company in the market for S$741,580, bringing his total holding to 54.09 percent from 54.06 percent previously, according to a filing to SGX Friday.
United Hampshire US REIT
U.S. RE Fund II Offshore Feeder 1, a direct wholly owned subsidiary of UOB, saw its stake in United Hampshire US REIT fall to 7.997 percent from 8.887 percent after the REIT issued new units in a private placement, according to a filing to SGX Friday.
UOB is deemed interested in the shares held by the fund.
United Hampshire US REIT
Hong Kong-incorporated Golden Sun (China), a cornerstone investor in United Hampshire US REIT’s initial public offering (IPO), saw its stake in United Hampshire US REIT fall to 5.88 percent from 6.54 percent after the REIT issued new units in a private placement, according to a filing to SGX Friday.
According to the prospectus, Golden Sun (China) has Dato’ Swee Lian Woo as the ultimate beneficial owner; he is also the Vice Chairman of Perfect (China) and CEO of Perfect Global Management, which sells health food, household, skincare and personal care products.
Eagle Hospitality Trust
Eagle Hospitality Trust said Monday it has completed its sale of the Crowne Plaza Dallas near Galleria-Addison, located in Addison, Texas, U.S., under revised terms of US$16.85 million from the buyer, compared with an original agreement of around US$15.5 million, in addition to extension fees, due a completion delay by the buyer.
Zhou Qilin sold 84,611,700 shares of Ntegrator International in the market for S$939,543, taking her stake in the company to 7 percent from 13.75 percent previously, according to a filing to SGX Friday. That followed a previous selldown earlier this month.
Zhou had acquired a nearly 15 percent stake in Ntegrator in May in a conditional placement agreement with the company for 187.86 million new shares at S$0.01094 each to raise around S$2.06 million, according to a Business Times article. Zhou, who is a China resident, had subscribed to the shares for investment purposes, the article said.
Shares of Ntegrator were at S$0.009 on Friday.
VCPlus said Friday it has completed its acquisition of APEC Solutions, making it a direct wholly owned subsidiary. Due to shares issued to the seller, the total number of shares has increased to around 4.54 billion from 4.37 billion previously, the filing said, adding the new shares are expected to begin trade on SGX on or around 18 October.
Procurri Corp. said Monday its wholly owned subsidiaries Rockland Congruity and Procurri LLC have jointly filed litigation against Congruity 360 (C360) alleging improper sales of a third-party information technology maintenance business to a competitor in violation of covenants.
C360 did not immediately return Shenton Wire’s emailed request for comment, which was sent outside office hours.
BRC Asia said Monday the S$45.75 million it raised in a placement of shares to Hong Leong Asia Investments has been fully deployed toward the repayment of its outstanding bank borrowings.
Ntegrator has requested a trading halt Monday pending the release of an announcement.
Metech International said its joint venture Asian Eco Technology (AET) has entered a collaboration with Ningbo Crysdiam Industrial Technology under which AET will acquire lab grown diamonds from the Chinese company as part of its supply chain and production strategy.
Hong Lai Huat Group
Hong Lai Huat Group has entered a joint venture deal with HSC Group to collaborate on exploration and mining of mineral resources at its Cambodia-Singapore Agriculture Hub, the company said in a filing to SGX Monday.
Hong Lai Huat Group is a property developer, with projects in Singapore and Cambodia. The group also diversified into the agricultural sector in Cambodia in 2008, and has developed farmland producing cassava and has a cassava starch production factory.
In response to a query from SGX, Azeus Systems pointed to potential interest from a third-party investor as a possible explanation for its share price surge. The stock has climbed from around S$4.00 on 27 September to close at S$9.60 on Friday amid a pickup in volume.
“We were informed by our major shareholder Mr. Lee Wan Lik that he has been approached by a third-party investor to explore an investment in the company. Mr. Lee Wan Lik has also, upon this query, informed that he has not entered into any specific discussion nor signed any binding investment agreement with the third-party investor,” Azeus Systems said in the statement.
The company said it wasn’t aware of any other possible explanation.
Kim Heng said Friday a subsidiary had acquired a 1250 tonnes Sany Crawler Crane for around S$10 million to be used to diversify into the renewable energy support sector, specifically to lift and install onshore and offshore renewable windfarm projects in Taiwan and Vietnam. Around S$7.5 million of the purchase price was funded by a green loan from UOB, with the rest from internal resources, Kim Heng said in a filing to SGX.
In addition, the subsidiary, Kim Heng Heavy Equipment, has obtained an around US$7.2 million 30-month contract with an established windfarm contractor in Vietnam, with the project expected to begin on 12 November, the filing said.
Guoan International said Friday its investigations have discovered “certain irregularities” in the acquisition of Yicko Group, which it has reported in relation to potential auditing and reporting irregularities to the Financial Reporting Council in Hong Kong.
The company’s shares have been halted since March.
Guoan International mainly trades and repairs telecommunications products, invests in financial assets and has a money-lending business. CITIC Guoan Group is a substantial shareholder.
Clearbridge Health said Friday it will seek shareholder approval to expand into a new business segment of investing or injecting funds into various entities in the global healthcare sector, such as medical technology or pharmaceutical companies, which are earnings before interest, taxes, depreciation and amortisation (ebitda) positive or have a clear line of sight to profitability.
“The proposed new business builds on and increases the quality of the company’s healthcare portfolio, which provides a robust platform to continue to grow the company’s business presence,” the company said in a filing to SGX. “By venturing into the proposed new business, the company is able to better participate in the growth prospects of the healthcare sector.”
Abundance International’s wholly owned subsidiary Orient-Salt Chemicals (Shanghai), or OSC Shanghai, has sold 2.4 million investment shares of Jiangsu Sopo Chemical in the market at around 16.18 yuan each, or a total of around 38.84 million yuan, with net proceeds of around S$7.18 million, the company said in a filing to SGX. OSC Shanghai acquired the shares in April for 8.31 yuan each, the filing said.
OSC Shanghai still holds 1.21 shares, or around 0.1 percent, of Jiangsu Sopo Chemical, the filing said.
The proceeds are earmarked for general working capital requirements, the filing said.
Jasper Investments filed Friday comments from its independent auditors, Foo Kon Tan LLP, citing a material uncertainty over the company’s ability to continue as a going concern.
Ezion Holdings said Friday its wholly owned subsidiary Atlantic London has been placed under creditors’ voluntary winding up, with liquidators appointed to handle winding up the unit’s affairs.
The winding up isn’t expected to have any material impact on the net tangible assets or earnings per share for the current financial year, Ezion said in a filing to SGX.
Goodland Group said Friday it acquired 50 percent of Chon Hua, a Singapore-based property developer, for S$2,500.
Earlier this month, Chon Hua was awarded a design-and-build contract for an eight-storey commercial building and invited Goodland Group to participate in the project, the company said in a filing to SGX.
AnnAik Ltd. Chief Operating Officer and Executive Director Ng Kim Keang acquired 300,000 shares of the company in the market for S$23,400, increasing his stake to 2.38 percent from 2.28 percent previously, according to a filing to SGX Friday.
The company has four main businesses: Distribution of stainless steel piping products, manufacture of steel flanges, engineering construction of piping process system and environmental business via building and operating industrial waste-water treatment plants in China, according to a Reuters profile.
F J Benjamin
F J Benjamin said Friday the company and Aleta Planet had decided to discontinue their collaboration for a virtual pre-paid wallet after the parties were not able to agree on marketing terms with a third party.