SG Morning Call|Singapore Stocks Open Higher on Wednesday; FLCT prices S$175 million in 3.83% notes due 2029

TigerNews SG03-20

Market Snapshot

STI up 0.3%, FLCT rose 1%, CLI rose 0.4%, SIA rose 0.8%, Nio fell 4.7%, Seatrium rose 1.3%, SingTel rose 1.2%.

Stocks to Watch

Wilmar International: The agribusiness group’s wholly owned subsidiary, Wilmar Pakistan, intends to increase its stake in Pakistan-listed Unity Foods by acquiring up to 277.1 million shares, or 23.2 per cent, of Unity Foods through a public offer. Upon completion of the acquisition, it will have a total effective shareholding interest of 28.97 per cent in Unity Foods. Shares of Wilmar closed flat at S$3.41 on Tuesday, before the announcement.

CapitaLand Investment (CLI): The asset manager has raised one billion yuan (S$187.1 million) from its inaugural sustainability-linked “panda” bond, which comes with a three-year tenor and a fixed coupon rate of 3.5 per cent per annum. The fundraising exercise was 1.65 times subscribed, it said on Wednesday. Shares of CLI closed S$0.01 or 0.4 per cent lower at S$2.66 on Tuesday.

Frasers Logistics & Commercial Trust (FLCT): It is offering S$175 million in fixed rate notes due 2029 at 3.83 per cent, its manager said on Wednesday. Net proceeds from the Series 002 notes will be used to refinance existing borrowings or fund acquisitions, which may include FLCT’s proposed acquisition of an 89.9 per cent interest in four logistics assets in Germany, announced on Mar 15. FLCT’s counter ended 1 per cent or S$0.01 lower at S$1.01 on Tuesday.

Frasers Hospitality Trust (FHT): The managers of the stapled group said on Tuesday that it will not be acquiring interests in Capri by Fraser at Changi City from its sponsor, Frasers Property. Though Frasers Property intends to divest the asset to a third party, FHT’s managers said acquiring the property would not meet the real estate investment trust’s prevailing investment strategy. Stapled securities of FHT closed flat at S$0.455, before the announcement.

Second Chance Properties : The mainboard-listed company expects its net profit to “decrease significantly” year on year for its first half ended Feb 29, 2024. On Tuesday, the company cited a likelihood of lower gains on the disposal of investment properties in H1. Its unaudited financial statements are expected to be released on or around Mar 27. Shares of Second Chance Properties closed flat at S$0.23, before the announcement.

SG Local News

Latest Singapore 6-month T-bill offering 3.78% cut-off yield

Singapore’s latest six-month Treasury bill (T-bill) is offering a cut-off yield of 3.78 per cent, according to auction results released by the Monetary Authority of Singapore (MAS) on Thursday (Mar 14).

This is slightly down from the 3.8 per cent that was offered in the previous auction, which closed on Feb 29.

Demand rose in the latest tranche. Auction results showed a total of S$14.4 billion in applications for the S$6.3 billion on offer, representing a bid-to-cover ratio of 2.29.

China-Singapore visa exemption boosts February visitor arrivals from 65.9% to 96.3%

Visitor arrivals in Singapore increased to 95.8% of pre-pandemic levels in February, led by travellers from China.

Arrivals from China increased to 96.3% from 65.9%.

Nomura attributed the increase to the visa exemption between China and Singapore, which kickstarted on 9 February, and the effects of the Chinese New Year and leap year.

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Comments

  • Success88
    03-20
    Success88
    It's exciting news that Singapore is attracting more Chinese tourists by waiving visa application fees. This will undoubtedly boost the tourism industry. However, my understanding is that ride-hailing companies like$Grab Holdings(GRAB)$  $ComfortDelGro(C52.SI)$  $Ryde Group(RYDE)$ might not see an equal level of benefit from this initiative. Many driver complain that during this March the ping become lesses And mostly far pick up. 
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