Singapore companies in focus on Friday, 26 November 2021:
- Daiwa House Logistics Trust: IPO demand ‘overwhelming’
- SGX and Changi Airports tie up to create iEdge index to track travel shares
- Frasers Property enters around S$337M joint venture deal to acquire land
- Kimly reports fiscal year net profit climbed 56 percent amid delivery growth and coffee shops
Others: Keppel Corp., Yanlord Land, Nera Telecommunications (NeraTel), Nam Lee Pressed Metal Industries, Rich Capital Holdings, and Union Steel Holdings.
Daiwa House Logistics Trust
Daiwa House Logistics Trust (DHLT) said Thursday its initial public offering (IPO) has been met with ‘overwhelming demand,’ with the Singapore public offer 9.5 times oversubscribed and the placement tranche 4.9 times oversubscribed.
The trust’s units are set to begin trade on Friday at 2:00 p.m. SGT; the IPO was priced at S$0.80 a unit.
SGX and Changi Airports
Singapore Exchange (SGX) and Changi Airports International (CAI) have created the iEdge GateEq Aviation and Travel Index, which is targeting tracking global aviation and travel-related long-term growth, particularly as borders reopen, the two companies said Thursday.
Frasers Property said Thursday its indirect wholly owned subsidiary, Suzhou Sing He Xiang Management Consultancy, or SHX, has entered a strategic alliance agreement with a joint venture partner and its related entity for a potential investment in land.
Keppel Offshore & Marine, via wholly owned subsidiary Keppel Shipyard, has won contracts for two projects, including conversion of a Floating Storage and Regasification Unit (FSRU) and integrating a Floating Production Storage and Offloading vessel (FPSO).
Singapore-style coffee shop operator Kimly reported Thursday its full fiscal year net profit climbed 55.7 percent on-year to S$39.3 million on growth across all three business divisions, led by the food retail segment.
Yanlord Land said Thursday it has fully sold the first batch of 299 apartment units within five hours of the launch of its Shanghai project, Yanlord Arcadia, fetching 5.075 billion yuan in pre-sales.
Nera Telecommunications, or NeraTel, said Thursday its third quarter revenue fell 16.1 percent on-year to S$29.2 million, which it attributed to a “prudent and selective approach” to minimize risks, leading to a drop in the opening order backlog for 2021.
“A slowdown of project progression across the majority of the group’s geographical markets as a result of the ongoing Covid-19 pandemic also contributed to the revenue dip,” NeraTel said in a filing to SGX.
Beck Tong Hong, CEO of NeraTel, said in the statement that the company had seen a gradual uptick in order intake.
Nam Lee Pressed Metal Industries
Nam Lee Pressed Metal Industries reported Thursday its net profit for the fiscal year ended 30 September climbed 146 percent on-year to S$15.72 million on revenue of S$198.69 million, up 67.6 percent on-year.
“Despite the on-going Covid-19 pandemic and disruption by the second Movement Control Order in Malaysia, the group ramped up
production to meet demand for container refrigeration units. This, together with progression of projects resulted in increase in revenue,” the company said in a filing to SGX.
In addition, the gross profit margin increased to 16.3 percent for the year, up from 15.5 percent in the previous year, the filing said.
Rich Capital Holdings
Rich Capital Holdings said Thursday it has granted an option to purchase all of real estate developer First Capital, which owns a single-use light industrial development in Singapore, to CK Chu Holdings for S$14.5 million.
“The rationale for the proposed disposal is mainly to raise cash to support the group’s existing construction activities and mitigate material uncertainty to operate as a going concern going forward whilst realizing a gain from the proposed disposal,” Rich Capital Holdings said in a filing to SGX.
The option is valid until 8 December, the filing said.
Union Steel Holdings
Union Steel Holdings said Thursday it entered a deal to acquire 49 percent of BTH Holdings from New Oasis for S$8.33 million.
BTH Holdings provides services to the offshore oil and petroleum industries, including installing industrial machinery, manufacture of pressure vessels, heat exchangers and plant and metal fabrication.
“The board believes that the proposed acquisition represents an attractive investment opportunity which will diversify its revenue streams. The proposed acquisition is in line with the group’s expansion plans into complementary business areas within the marine, offshore
and oil & gas industries through strengthening its engineering and manufacturing capabilities,” Union Steel Holdings said in a filing to SGX.