Suntec REIT

[winston]

Not vested

Suntec Real Estate Investment Trust, which owns most of Singapore's Suntec City complex, said it raised S$428.8 million ($324.8 million) on Monday through a private placement of new units.


Source: Reuters

[winston]

Not vested

Singapore Hot Stocks- Suntec REIT falls on $325 mln placement

SINGAPORE, Nov 30 (Reuters) - Shares of Singapore's Suntec Real Estate Investment Trust fell as much as 2.1 percent on Tuesday, to their lowest level in nearly three months after the firm raised S$428.8 million ($324.8 million) through a private placement of new units.

At 0104 GMT, Suntec Reit's shares were down 1.4 percent at S$1.41, with over 3.2 million changing hands.

The trust issued 313 million new units at S$1.37 each, nearing the top end of S$1.34 and S$1.38 range it had set earlier, but lower than its previous trade of S$1.43, with the placement 3.1 times oversubscribed.

Suntec said the net proceeds of around S$417.9 million will be used to partially finance the acquisition of a one-third interest in Marina Bay Financial Centre Towers 1 and 2 and the Marina Bay Link Mall, Suntec said late on Monday.

Source: Reuters

[winston]

RESEARCH ALERT-Daiwa cuts Suntec REIT to "underperform" from "hold"

SINGAPORE, Jan 18 (Reuters) - Daiwa Capital Markets has cut its rating for Singapore's Suntec Real Estate Investment Trust to "underperform" from "hold" but raised its target price to S$1.49 from S$1.46.

STATEMENT: Daiwa has lowered its distribution per unit (DPU) forecast for Suntec REIT by 5 percent in 2011 and 5.5 percent in 2012.

The brokerage believes Suntec REIT's earnings this year could disappoint after the trust said it expected a DPU forecast of 8.699 Singapore cents in 2011, which is 11.5 percent lower than Daiwa's 2010 DPU forecast.

"We believe the acquisition of a one-third stake in Marina Bay Financial Centre Tower 1 is probably a sound strategic move for Suntec, but the DPU accretion is negligible on our forecasts," said Daiwa in a report.

At 0121 GMT, shares of Suntec REIT fell 1.3 percent to S$1.53, and have risen about 2 percent since the start of the year.


Source: Reuters

[winston]

Not vested

Suntec Reit reports 19.8% fall in Q4 DPU By FELDA CHAY

Suntec Real Estate Investment Trust (Suntec Reit) ended a lacklustre year with 19.8 per cent year-on-year drop in its payout to unitholders for the fourth quarter - which was impacted by a higher interest expense from its bank loans and convertible bonds.

ARA Trust Management (Suntec) Ltd, the manager of Suntec Reit, said after market closed today that distribution per unit (DPU) fell to 2.3 cents from 2.9 cents a year before. Income available for distribution slipped 6 per cent to $44.9 million.

Gross revenue dipped 0.6 per cent to $61.4 million.

For the full year, DPU fell 15.8 per cent to $9.9 million. Gross sales was down 1.4 per cent to $249.5 million.

Suntec Reit's shares closed up 1.9 per cent at $1.58.

http://www.businesstimes.com.sg/sub/lat ... 71,00.html?

[winston]

Not vested. From UOBKH:-

Suntec REIT- 1Q11: Limited debt headroom for expansion.
(HOLD/S$1.52/Target: S$1.65)

FY11F P/E (x): 30.5
FY12F P/E (x): 29.1

Results in line with expectations. Suntec REIT reported 1Q11 distributable income of S$52.9m (+16.5% yoy, +17.6% qoq) and DPU of 2.388 cents (-5.0% yoy, 3.1% qoq). The DPU is in line with our expectations, accounting for 25.4% of our full-year forecast DPU.

1Q11 revenue fell 2.3% yoy to S$61.0m while net property income also decreased 2.4% yoy to S$46.7m, driven by a 2.3% drop in retail revenue from Suntec City. This was offset by the first full-quarter of contribution from Marina Bay Financial Centre (MBFC).

Maintain HOLD with an unchanged target price of S$1.65, based on the dividend discount model (required rate of return: 7.7%, terminal growth: 2.3%).

[winston]

Suntec REIT – 3Q11: Suntec asset enhancement likely in 2012

(BUY/S$1.21/Target: S$1.35)
FY11F PE (x): 20.4
FY12F PE (x): 20.8


Results in line with expectations.

Suntec REIT reported a 3Q11 distributable income of S$56.4m (21.9% yoy, unchanged %qoq) and a DPU of 2.533 cents (1.2% yoy, unchanged qoq).

9M11 DPU is in line with our expectations, accounting for 79.3% of our full year forecast DPU.


Suntec Singapore acquisition driving revenue growth.

3Q11 revenue increased 7.4% yoy due to the consolidation of revenue from Suntec Singapore (Convention Centre).

Suntec REIT had raised its effective stake in Suntec Singapore in 3Q11 to 60.8% from 20% for S$115m.


We maintain BUY with a raised target price of S$1.35 (from S$1.30) based on a 5% discount to the DDM (required rate of return:

8.1%, terminal growth: 2.0%) derived fair value of S$1.42.

Source: UOBKH

[winston]

not vested

RESEARCH ALERT-CIMB cuts Suntec REIT target

SINGAPORE, Oct 27 (Reuters) - CIMB Research cut its share-price target on Singapore's Suntec Real Estate Investment Trust (REIT) , which owns office and retail properties, to S$1.18 from S$1.38, and kept its underperform rating.

STATEMENT: Suntec REIT said it had a distribution income of S$56.4 million for the third quarter, up 21.9 percent from the same period a year ago, helped by higher contribution from its Singapore office asset, Marina Bay Financial Centre.

[ID:nSNZ6Rhl5n] CIMB Research raised its earnings estimates for 2011 for the company, but cut those for 2012 and 2013, citing slower rental growth.

"We expect office rentals and occupancy to come under increasing pressure," the brokerage said.

At 0129 GMT, shares of Suntec REIT were 0.83 percent higher at S$1.215. They have fallen about 19 percent since the start of the year.

Source: Reuters

[winston]

not vested

Suntec Reit is selling Chijmes for $177m to an entity
whose shareholders include Pua Seck Guan's Perennial
Real Estate group and OSIM boss Ron Sim.

Mr Pua and Mr Sim are also joint majority shareholders (40% stake) in the nearby Capitol project, which will have retail/theatre, hotel and residential components.

With a gross floor area of 127,793 sq ft, the $177m price tag translates into about $1,385 psf ppr. The area was valued at $143.7m by DTZ Debenham Tie Leung as at Oct 15, placing the divestment at 23.2% above the valuation.

Suntec Reit is expected to recognise an estimated gain of about $39.5m following the divestment.

Source: DBS

[winston]

not vested

Shares of Singapore's Suntec Real Estate Investment Trust rose as much as 4.5 percent after announcing that it had agreed to sell Chijmes, a dining and entertainment property in the city-state, for S$177 million ($141.9 million).

The sale price was 23 percent above the valuation of S$143.7 million as at Oct 15, the company said in a statement.

RBS said in a report that it expects Suntec REIT to book a divestment gain of S$39.5 million and reinvest the proceeds into refurbishment work at Suntec City Mall in Singapore.

At 0500 GMT, Suntec REIT shares were up 3.7 percent at S$1.27 on a volume of around 10 million shares, 1.1 times the average daily volume in the last 30 days.

Source: Reuters

[winston]

Not vested. So while they are spending money to upgrade, less dividends would be distributed, right ?

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Suntec REIT said on Monday it plans to invest S$410 million to upgrade its retail and commercial asset Suntec City.

The upgrading works will start in mid-2012, and upon completion in 2015, Suntec City mall's net property income is expected to increase by 33 percent.

Source: Reuters