SG Morning Call｜Grab to Buy Delivery Hero's Foodpanda Taiwan Business for $600 Million

Market Snapshot

Singapore stocks opened higher on Tuesday. STI up 0.2%; Nio up 4%; UOL, SingPost, SATS up 1%.

Stocks in Focus

$Singtel(Z74.SI)$: The local telco on Monday afternoon was hit with over 9,700 user reports of a disruption on Downdetector, after three consecutive days of issues last week. These reports began from 3.20 pm. Singtel said in an update at 5.23 pm on Facebook that the disruption was due to an “international traffic optimisation issue” which has been resolved. The counter ended Monday 5.4 per cent or S$0.28 lower at S$4.93.

$Stoneweg EUTrust EUR(SET.SI)$: The managers announced on Tuesday that Sert is divesting its office asset Riverside Park in Warsaw, Poland, for a consideration of 22.5 million euros (S$33.6 million). It has entered into a binding agreement with a Polish private limited liability company that operates an oncology hospital in Warsaw. The divestment is part of the stapled group’s ongoing portfolio optimisation initiatives. Stapled securities of Sert ended at 1.50 euros on Monday, down 0.03 euro or 2 per cent.

$CapLand Ascendas REIT(A17U.SI)$: The real estate investment trust’s (Reit) manager announced on Tuesday that Clar is acquiring two assets in Singapore – a 100 per cent interest in 25 Loyang Crescent, a cluster of logistics and industrial buildings for a purchase consideration of S$504.2 million, and a 50 per cent interest in Ascent, a business space property at 2 Science Park Drive for S$245 million. Furthermore, it was entering Japan through the acquisition of a 49 per cent interest in a data centre in Greater Osaka for a purchase consideration of 76.4 billion yen (S$620.7 million). The manager also announced the launch of a proposed equity fundraising comprising an offering of new units to raise gross proceeds of about S$900 million. Units of the Reit ended at S$2.50, S$0.07 or 2.7 per cent lower on Monday.

SG Local News

Asia Faces Crisis from Mideast Disruption, Singapore Foreign Minister Warns

The war against Iran threatens to send Asian economies into crisis, Singapore’s foreign minister said on Monday, a stark warning in a region that is acutely exposed to the ​massive disruption of Middle East energy supplies.

"Right now the closure of the Strait of Hormuz is, in a sense, an Asian crisis," Vivian Balakrishnan ‌told Reuters.

Grab to Buy Delivery Hero's Foodpanda Taiwan Business for $600 Million

Southeast Asia's biggest ride-hailing ‌and delivery firm, Grab, said on Monday it would pay $600 million in cash for Delivery Hero's Foodpanda delivery business in Taiwan, in its first expansion outside the region.

The Taiwan purchase gives the Singapore-based company a sizeable delivery foothold beyond Southeast Asia in its pursuit of ​a broader expansion strategy built around artificial intelligence, newer services and selective overseas deals.