0639 GMT - Frasers Logistics & Commercial Trust's portfolio could remain resilient despite various headwinds, Daiwa Capital analysts David Lum and Celine Tan write in a note. The performance of the trust's logistics and industrial assets in Australia and Europe is likely to remain steady, although its U.K.-based business parks are seeing low physical occupancy rates, as tenants are now less willing to return to the office, the Japanese investment bank says. The analysts also expect the trust's cost of borrowing to increase to 1.9%-2.0% from 1.7%, after factoring in interest-rate increases. Daiwa trims its 2022-2024 DPU estimates by 4.0%-6.0%, lowers its target price to S$1.38 from S$1.55 and maintains its outperform rating. Units are down 1.6% at S$1.24. (yiwei.wong@wsj.com)
(END) Dow Jones Newswires
October 06, 2022 02:39 ET (06:39 GMT)
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