Companies in focus Monday, 15 November 2021:
- UPDATE: Cuscaden Peak likely wins SPH after topping Keppel bid with mic drop offer
- Sembcorp to acquire wind and solar portfolio from CGN Private Equity fund for S$700M
- CapitaLand Integrated Commercial Trust JV to sell One George Street for around S$1.28B
- Keppel Infrastructure Trust’s Basslink enters voluntary administration
Others: Keppel Corp., SATS, Frasers Property, United Hampshire US REIT, Sasseur REIT, Centurion, Stamford Land, Golden Agri-Resources, Chip Eng Seng, Boustead Projects, APAC Realty, Raffles Education, Raffles Infrastructure, JUMBO Group, Tung Lok Restaurants, Parkson Retail Asia, AusGroup, The Hour Glass, SATS, SMI Vantage and Ntegrator.
This item was originally published on Sunday, 14 November 2021 at 15:55 SGT; it has since been updated to add SPH, SPH REIT, Keppel and Cuscaden Peak as well as Addvalue Technologies, Jasper Investments and Sakae Holdings. An additional item on Keppel Corp. was added.
SPH, SPH REIT, Cuscaden Peak and Keppel Corp.
CapitaLand Integrated Commercial Trust (CICT)
CapitaLand Integrated Commercial Trust (CICT) and its joint venture partner OGS (II) Ltd. have entered a deal to sell the One George Street property in Singapore to SG OGS for S$1.28 billion, the trust said in a filing to SGX Friday.
Sembcorp Industries has entered a deal to acquire a 98 percent stake in a portfolio of operational wind and solar assets from CGN Capital Partners Infrastructure Fund III and its affiliates for around 3.3 billion yuan, or around S$700 million, the Singapore-listed energy and infrastructure player said in a filing to SGX Friday.
Keppel Corp.’s indirect subsidiary KS Investments has entered a deal to divest its entire 51 percent stake in each of Keppel Smit Towage (KST) and Maju Maritime to Rimorchiatori Mediterranei Spa for around S$133 million in cash, the company said in a filing to SGX Monday.
Keppel Corp.‘s Keppel Telecommunications & Transportation is divesting its entire 50 percent interest in Wuhu Sanshan Port Co. to Sintrans for 170 million yuan, or around S$36 million, the company said in a filing to SGX.
After the deal completion, expected by year-end, Wuhu Sanshan Port will cease to be an associate, Keppel said.
SATS reported Friday its fiscal second quarter swung to a net profit of S$6.8 million from a year-ago loss of S$33.2 million, on government relief and on growth in cargo, non-travel food and security services.
Keppel Infrastructure Trust and Basslink
Keppel Infrastructure Trust‘s wholly owned subsidiary Basslink has entered voluntary administration, after ongoing disputes with customer Hydro Tasmania and an unsuccessful attempt to sell the company.
Frasers Property reported Friday its fiscal year net profit climbed to S$833.1 million from S$188.1 million in the previous year on strong performance from industrial and logistics, including valuation gains, and a one-time gain on portfolio re-classification.
United Hampshire US REIT
United Hampshire US REIT said Saturday it has completed the acquisition of the Colonial Square Shopping Center in Colonial Heights, Virginia. Around US$26.2 million of the gross proceeds of the private placement, or around 75 percent of the total, were used to partially fund the Virginia acquisition, the REIT said in a filing to SGX.
Stamford Land reported Friday its fiscal first half net profit jumped to S$16.26 million from S$1.48 million in the year-ago period, while revenue came in at S$83.0 million, up from S$40.12 million in the year-ago period.
In the year-ago period, the hotels in Adelaide, Auckland, Brisbane and Sydney, except Stamford Plaza Sydney Airport, were closed temporarily, the company said in a filing to SGX.
Centurion reported Friday its third quarter revenue grew 20 percent on-year to S$35.27 million as new worker accommodation properties came on-line in Singapore and as student accommodation revenue in the U.K. recovered.
Boustead Projects reported Thursday its fiscal first half swung to a net profit of S$5.9 million from a year-ago loss of S$2.2 million, as higher profit in the engineering and construction (E&C) segment partly offset lower contributions from the real estate segment.
Chip Eng Seng
Chip Eng Seng warned Friday it expected to report a net loss for 2021, but the quantum is expected to be significantly smaller than 2020’s net loss of S$81.1 million.
“While the group managed to generate a net profit for the half-year ended 30 June 2021 (1H2021), the businesses and operations of the group continue to face challenges due to the ongoing Covid-19 pandemic,” Chip Eng Seng said in a filing to SGX.
“The group has been adversely affected by factors arising from the Covid-pandemic such as labour shortage on the construction front, disruptions in the global supply chain for construction materials, border control measures and increased operating costs,” the company said.
Sasseur REIT reported Friday its third quarter EMA rental income slipped 1.4 percent on-year to 150.4 million yuan as consumer sentiment took a hit from a large-scale Covid-19 outbreak originating in Nanjing in July.
Golden Agri-Resources reported Friday its third quarter swung to a net profit of US$115 million from a year-ago net loss of US$5 million amid a sustained increase in palm oil prices and strong production.
APAC Realty reported Friday its net profit for the January-to-September period more than doubled to S$26.1 million from S$10.9 million in the year-ago period. Revenue for the nine-month period increased 111 percent on-year to S$543.8 million, the realty company said in a filing to SGX.
“The strong performance in 9M 2021 was largely due to an increase in transaction volume of residential properties in the new homes and resale segments in this period, which was driven mainly by local buyers, young couples and HDB upgraders amid strong global liquidity and low interest rate environment,” APAC Realty said in the statement.
Raffles Education reported Friday its fiscal first quarter swung to a net loss of S$7.16 million from a year-ago net profit of S$16.05 million, on revenue of S$23.26 million, up 10 percent on-year on “significantly higher student enrollments.”
Personnel expenses, other operating expenses and finance costs all increased on-year, the company said in a filing to SGX.
“The uncertainty brought about by Covid-19 pandemic with the lockdown and restricted border movements in all the locations we operate in is continuing to impact our recruitment and retention of foreign students from January 2020 till date and will continue to have impact,” Raffles Education said.
Raffles Infrastructure reported Friday its fiscal first quarter net profit dropped 76 percent on-year to 634,000 yuan, while the company recorded no revenue, compared with 15.58 million yuan in revenue in the year-ago period.
Other income, which includes interest income and government grants, was steady at around 2.37 million yuan in the July-to-September period, Raffles Infrastructure said in a filing to SGX.
The company said it didn’t recognise revenue on its infrastructure project in China, but noted it has four road parcels under construction and two road parcels completed. Raffles Infrastructure said it expects total revenue of around 50.6 million yuan to be recognised over the next three to six months.
Addvalue Technologies and Jasper Investments
Jasper Investments said Sunday it has entered a letter of intent with Addvalue Technologies to collaborate on capitalizing Addvalue’s business, including its maritime services and to explore related opportunities.
Chili-crab restauranteur JUMBO Group warned Friday it expected to report a net loss for the fiscal year ended 30 September.
“In FY2021, Covid-19 had continued to suppress the recovery of economic activities and consumer sentiments with constant mutation and an accelerated speed of contagion, especially from the Delta variant. In particular, in Singapore, the group’s biggest market, the food and beverage sector had to cope with repeated cycles of no-dine in and the two-pax dine-in cap restrictions, making operations extremely challenging for the whole of FY2021,” JUMBO said in a filing to SGX.
Sushi restauranteur Sakae Holdings reported Sunday its fiscal first quarter swung to a net loss of S$134,000 from a year-ago net profit of S$69,000 even as the decline in revenue outpaced the fall in expenses.
Tung Lok Restaurants
Tung Lok Restaurants reported Friday its fiscal first half swung to a net loss of S$3.45 million from a year-ago net profit of S$199,000 as its “operations continued to be severely and adversely disrupted by the COVID-19 pandemic.”
AusGroup reported Friday its fiscal first quarter net profit dropped 57.4 percent on-year to A$210,000 on revenue of A$60.42 million, which rose 39.7 percent on-year on a recovery to a more normal activity level after the impact of Covid-19.
Finance costs increased 48.3 percent on-year in the three months ended 30 September to A$1.4 million, mainly on the adverse foreign exchange movement between the Australian and U.S. dollars, which impacted a U.S. dollar shareholder loan. Other operating costs incrased 31.3 percent on-year to A$2.51 million and administrative expenses more than doubled to A$1.58 million, the company said in a filing to SGX.
The Hour Glass
The Hour Glass reported its fiscal first half net profit surged 110 percent on-year to S$62.55 million on revenue of S$472.41 million, up 63 percent on-year.
“The Covid-19 pandemic continues to cause periodic disruptions to social and business activities. However, consumer sentiment within the watch industry remains positive. With the present momentum, the group expects to continue to be profitable in 2H FY2022, and for the full financial year,” The Hour Glass said in a statement filed to SGX.
The company declared an interim dividend of 2 Singapore cents a share, unchanged on-year.
Parkson Retail Asia
Parkson Retail Asia reported Friday its net loss for the July-to-September quarter widened to S$15.88 million from a year-ago net loss of S$5.92 million amid the continued impact of the Covid-19 pandemic and restrictions in its markets.
SATS said Friday it has started construction of a central kitchen in India, located at Kempegowda International Airport, Bengaluru, with an estimated construction cost of S$37 million. Operations are expected to begin in 2023, SATS said.
SMI Vantage reported Friday its fiscal first half net loss narrowed to US$1.10 million from a net loss of US$2.94 million in the year-ago period, in part due to the revaluation of loans denominated in Myanmar kyat as the currency weakened against the U.S. dollar.
Ntegrator International said Friday it was awarded an around S$1.5 million contract from a joint venture between Daewoo Engineering & Construction and Yongnam Engineering & Construction for civil works on cables diversion in Western Singapore. The contract began last week and is expected to be completed by April 2022, Ntegrator said in a filing to SGX.