THE following companies saw new developments that may affect trading of their securities on Wednesday (Jun 15):
Frasers Property: Some investors will almost certainly gripe about not being offered a high enough price. And, there could be some hand-wringing about the local market losing good listings because of pitifully low valuations.
Yet, the proposed privatisation of Frasers Hospitality Trust (FHT) by its sponsor group is a positive development for holders of its stapled securities as well as Singapore’s real estate investment trust (Reit) sector.
On Jun 13, Frasers Property (FPL) said it plans to take FHT private at S$0.70 per stapled security.
Far East Orchard: Real estate company Far East Orchard has acquired a plot of land in Bristol through a joint venture (JV) with Woh Hup Holdings and Way Assets to develop a student hostel in the English city, the mainboard-listed company said in a bourse filing on Tuesday (Jun 14).
Located less than a kilometre from the new Temple Quarter Enterprise Campus of the University of Bristol, the purpose-built student accommodation at Plot 6 Silverthorne Lane will feature at least 690 beds and is expected to be fully completed in 2027.
Far East Orchard : O10 0%will have an effective 42.5 per cent interest in the development. The company’s share of the committed capital is 13.3 million pounds (S$22.5 million); it said this will be paid in cash through a combination of internal resources and external debt facilities.
Hwa Hong: The revised offer of S$0.40 per share to privatise property player Hwa Hong Corporation is “fair and reasonable”, the independent financial adviser (IFA) to the deal said on Tuesday (Jun 14).
The IFA, Provenance Capital, advised the directors to recommend shareholders accept the offer from Sanjuro United, even though this represented a 20.8 per cent discount to the adjusted revalued net asset value (RNAV) of the group of S$0.5052 per share.
The board of directors have concurred with the advice and recommendation of the IFA and have recommended that shareholders accept the offer. Notwithstanding the recommendation, the directors from the controlling Ong family said they do not intend to accept the offer themselves.
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