Capitaland Investment 02 (Jun 10 - Dec 25)

[LenaHuat]

LML said that a property bubble is building up only in the 4 gateway cities in China. And he saw much opportunities in the affordable housing sector. So bulltick is right, CapitaLand is going into the mass market sectors in both China and Vietnam.

[winston]

And how would this news affect Capitaland ? Not vested.

ESun’s $2.4 Billion Claim Against Casino Investors Dismissed By Debra Mao

July 17 (Bloomberg) -- A Hong Kong court dismissed an eSun Holdings Ltd. unit’s $2.39 billion claim against investors in its Macau casino project including Oaktree Capital Management LP and Silver Point Capital LP.

High Court Judge A.T. Reyes ruled yesterday that East Asia Satellite Television (Holdings) Ltd.’s attempt to sue them is “untenable” under Macau and Hong Kong laws. He allowed a separate claim for $88.6 million against Oaktree and Silver Point for “inducing breach” of an agreement to proceed.

http://noir.bloomberg.com/apps/news?pid ... jTOMxiSS.E

by winston » Wed May 05, 2010 8:15 pm

Hmmm... I'm just connecting the dots.

I have not seen any news in the Singapore side about the problems at Macao Studio City where Capitaland may have paid Sin$132m to Sin$240m in 2007.

===========================================

DJ eSun: US Hedge Fund Passport Sold Entire 28.78% Stake
2010-05-03 17:10:00

HONG KONG (Dow Jones)--eSun Holdings Ltd. (0571.HK) said Monday that U.S. hedge fund Passport Management LLC sold its entire 28.78% stake in the company April 30.

The entertainment company, which is involved in the stalled Macao Studio City project, said in a statement it hadn't been informed of the buyer or buyers of the shares.

The statement also didn't give a reason for the stake sale by Passport.

Source: Kate O'Keeffe, Dow Jones Newswires


=============================================

And this was the news release in Jan 2007 ...

CapitaLand signs Share Purchase Agreement for a prime integrated leisure and entertainment development project in Macau

Singapore, 9 January 2007 – CapitaLand Limited (CapitaLand) has signed a Share Purchase Agreement with eSun Holdings Limited, one of Asia’s leading media and entertainment companies and an associate company of Lai Sun Development, a leading hotel and property developer.

The Agreement effectively gives CapitaLand a 20% strategic interest in a prime integrated leisure and entertainment development project in Macau to be named Macao Studio City. This will be CapitaLand’s first investment in Macau.

The remaining interests in the project will be held by eSun Holdings (40%) and by New Cotai, LLC (40%). The latter is a consortium of US-based investors including David Friedman, a veteran resort and gaming developer who will be the co-Chairman and co-Chief Executive Officer of Macao Studio City; and the private US-based investment firms, Silver Point Capital, L.P, and Oaktree Capital Management, LLC.

The share acquisition cost for CapitaLand’s 20% effective interest is HK$658 million (S$132 million), based on the current approved plot ratio. Application to further increase the plot ratio for the development is currently in progress and the total share acquisition cost will be adjusted to reflect such increase subject to a maximum share acquisition cost of HK$1.118 billion (S$240 million).

http://www.capitalandilec.com/newsfile/ ... 9Jan07.pdf

[LenaHuat]

5. eSun has prior to the commencement of the legal proceedings against
NCH, affirmed an indemnity in favour of CapitaLand and, inter alia, its
representatives on the board of EAST (collectively, “CapitaLand and its
Nominees”) in respect of any losses which CapitaLand and its Nominees may
suffer arising from or as a result of claims made against CapitaLand and its
Nominees by NCH as a result of the legal proceedings against NCH, subject to
there being no fraud or willful default on the part of CapitaLand and its
Nominees.
6. The legal proceedings commenced by EAST in the Hong Kong SAR against
NCH is not expected to have any material impact on the net tangible assets
or earnings per share of the CapitaLand Group for the financial year ending
31 December 2009.

[LenaHuat]

Forgot to type the date of the press release by CapLand : 30 Sep 2009.

[kennynah]

tricky avatar

[LenaHuat]

Hi K and Winston
Yes, but Winston is still right about problems brewing in the Macau project. Hopefully the new partners will press on.

[tinpeng]

0754 GMT [Dow Jones] CapitaLand (C31.SG) +0.5% at S$3.85, second most active stock in market, marking third straight day of strong volume. Shares +6.4% so far this month vs STI +3.2% over same period.

2Q10 results, guidance, due Aug. 4, will determine whether recent gains justified.

"Concerns about its China exposure were perhaps overly excessive, and sales from new launches there could surprise on the upside in 2H10," says Kim Eng Securities, which has Buy call with S$5.15 target.

Orderbook quotes suggest resistance at S$3.90.

Source: Dow Jones Newswire

[millionairemind]

Published August 5, 2010

CapitaLand posts Q2 profit of $476 million

It is setting up new unit to build affordable homes in China and Vietnam

By UMA SHANKARI

CAPITALAND, which yesterday reported a second-quarter net profit of $476.1 million, said that it will set up a new business unit to build 'affordable' homes in China and Vietnam.

Wide reach: 'We have grown our 'Raffles City' portfolio in China with Raffles City Shenzhen (above), our sixth 'Raffles City' development in the country,' says Mr Liew

The property group, which is South-east Asia's largest developer, reversed from a net loss of $156.9 million in Q2 last year. That quarter, the company was hit by a net fair value loss of $212.6 million arising from the valuation of properties in Singapore and Australia. In Q2 this year, by contrast, there were no major write-downs.

Excluding revaluations and impairments, CapitaLand's net profit for Q2 this year would have been $271.7 million, more than twice the $124 million recorded for Q2 2009.

Revenue for Q2 this year rose 48 per cent to $873.9 million from $591.1 million a year ago as the developer saw better contributions from most of its business units.

'We have performed well in our core markets of Singapore, China, Australia and Vietnam this quarter,' said CapitaLand Group chief executive Liew Mun Leong. 'In Singapore, we continue to see strong sales momentum for our residential projects and recorded total sales of about $1.3 billion in the first six months of this year, mainly from Urban Suites and The Interlace.'

The prime office sector in Singapore is also recovering as rents have troughed and demand has rebounded, he added. The company's results have been depressed by write-downs of its investment properties over the last year.

And in China, CapitaLand's second biggest market, the developer sold close to 1,200 homes across Beijing, Chengdu and Kushan in the first half of 2010 and remains on track to launch new residential projects in Shanghai and Hangzhou later this year. It also announced its sixth Raffles City project in the country. 'We have grown our 'Raffles City' portfolio in China with Raffles City Shenzhen, our sixth 'Raffles City' development in the country,' said Mr Liew.

Mr Liew also gave an update on Vietnam, saying that the group will continue to grow its business from total assets of $400 million currently to about $2 billion over the next 3-5 years.

Earnings per share in Q2 came to 11.2 cents. In Q2 last year, the developer reported loss per share of 3.7 cents.

For the first six months of the year, CapitaLand reported a net profit of $591.5 million, reversing from a net loss of $114.1 million in H1 2009. Excluding revaluations and impairments, H1 2010 net profit would have been $382.7 million, more than double the $171 million for H1 2009. Revenue rose 45 per cent to $1.56 billion from $1.08 billion.

Looking ahead, the company unveiled plans to set up a new business unit to build 'affordable housing' in China and Vietnam. Such housing is in high demand in the two countries due to rapid mass urbanisation, CapitaLand said.

'There is an opportunity for CapitaLand to further diversify and position itself in the affordable housing segment in addition to its existing established mid to high-end segments,' the developer said.

Some $300-500 million could be set aside for the new business unit, Mr Liew said.

CapitaLand, which has cash reserves of some $4.9 billion and a gearing level of 0.28 times, is also committed to growing its fund management business. It is exploring setting up new funds and joint ventures in Malaysia, China and Vietnam. The group will also continue to launch new residential projects in Singapore, China and the other countries that it is present in - including a 1,715-unit development along Singapore's Farrer Road. That project could be rolled out in Q4 this year.

CapitaLand shares gained two cents to close at $4.08 yesterday.

[millionairemind]

August 20, 2010, 9.54 am (Singapore time)

Capitaland unit to sell assets worth US$717m

SINGAPORE - Capitaland, Southeast Asia's biggest developer, said on Friday its serviced residence business unit, The Ascott Ltd, will divest its 28 properties to Ascott Residence Trust , its REIT unit.

The transaction would be worth $969.6 million (US$716.6 million), The Ascott said.

The announcement came after both Capitaland and Ascott Residence Trust requested a trading halt. -- REUTERS

[kennynah]

why divest if property sector is booming?? **ting ting**