SingHaiyi&rsquo s share price spiked to a high of 10.6 cents this afternoon, up 3.2 cents or 43.2% higher from its previous close of 7.4 cents, triggering a query from the Singapore Exchange Regulation (SGX RegCo).

 

The query, which came in at 1.33pm, highlighted the counter&rsquo s &ldquo unusual volume movements&rdquo . As at the time of writing, 24.7 million SingHaiyi shares have traded hands, almost five times its average monthly volume of 5.3 million across the past three months.

 

SGX RegCo has asked SingHaiyi to reveal any information that may explain the trading activity. It has also asked SingHaiyi to confirm its compliance with the listing rules.

MAINBOARD-LISTED SingHaiyi Group sank into the red for the second half ended March 31 with a net loss of S$8.7 million. In the same period last year, the real estate developer recorded a net profit of S$4.9 million.

 

The results translate to a loss per share (LPS) of 0.207 Singapore cent, against earnings per share of 0.117 cent, according to results released on Tuesday.

 

The net loss also comes as SingHaiyi saw its cost of sales more than double to S$79.1 million, from S$34.2 million a year ago.

 

Its share of results of equity-accounted investees, net of tax recorded a loss of S$3.7 million, from a gain of S$36.2 million in the year-ago period. This was largely due to the absence of a S$35 million fair-value gain of 9 Penang Road, coupled with the share of fair-value loss from ARA Harmony Fund III, a portfolio of five malls in Malaysia.

 

Meanwhile, revenue for the six months ended March more than doubled to S$102.3 million, from S$44.2 million the year before.

 

This was mainly due to revenue recognition from two Singapore condominiums - S$60.6 million from Parc Clematis and S$4 million from The Gazania. The gain was partially offset by the fall of S$5.8 million in revenue recognised for the second phase of Vietnam Town, a commercial condominium project in San Jose, California.

 

For the full year ended March 31, SingHaiyi saw its net loss widen to S$13.3 million, from S$7.8 million the year prior. LPS was 0.316 Singapore cent, from 0.186 cent the year before. Revenue stood at S$152.8 million, 2.7 times the S$57.2 million posted in the year-ago period.

 

No dividend was declared for the financial period as the group recorded a net loss for the fiscal year and seeks to conserve cash for its development projects, it said.

CHIP Eng Seng announced on Wednesday after trading hours that its wholly-owned subsidiary, CEL Development, together with joint venture (JV) partners SingHaiyi Investments and Chuan Investments, has incorporated two JV companies Maxwell Residential and Maxwell Commercial.

 

This comes as the three parties have successfully tendered for the enbloc acquisition of Maxwell House for S$276.8 million.

 

Each JV company has an issued and paid-up share capital of S$10. CEL Development will hold a 40 per cent stake in the JV, with SingHaiyi and Chuan Investments each holding a 30-per-cent stake.

 

The JV partners have provided shareholders' loans in the aggregate principal amount of S$22.14 million, with the portion of each shareholders' loan provided by each of the JV partners in accordance with their respective stakes. The loans are meant to provide funding to the JV companies for the acquisition, including satisfying the tender fee, stamp duty and the purchase price of the property.

 

Chip Eng Seng said in a bourse filing that the investment by CEL Development and SingHaiyi in the project constitutes an interested-person transaction of the company.

 

This comes as Singapore billionaire couple Gordon Tang and Celine Tang are controlling shareholders of both SingHaiyi and Chip Eng Seng. Mrs Tang is also SingHaiyi' s group managing director, as well as Chip Eng Seng' s non-independent and non-executive director and non-executive chairman.

 

Chip Eng Seng said that its Audit and Risk Committee is of the view that the provision by CEL Development of its portion of the shareholders' loans is not prejudicial to the interests of the company and its minority shareholders. It added that the risks and rewards for each JV partner are in proportion to the equity of each JV partner and that the terms and conditions relating to the shareholders' loans are not prejudicial to the interests of the company and its minority shareholders.

 

The company said that its contribution to the JV companies and the shareholders' loans was funded from internal cash sources. Its investment in the project is not expected to have a material impact on the net tangible assets and earning per share of the company for FY2021.

  The building at 20 Maxwell Road was put on the market at a reserve price of $295 million in September 2020.

 

SINGAPORE - The owners of Maxwell House, which has been around since 1971, were second-time lucky with their collective sale bid, snagging a sale at $276.8 million, above their $268 million asking price.

 

The building at 20 Maxwell Road was put on the market at a reserve price of $295 million in September 2020, but the asking price was lowered in April this year.

 

On Friday (May 7), the collective sale tender for the 13-storey commercial development comprising 145 strata units was awarded to a unit of Singapore-listed Chip Eng Seng Corp, SingHaiyi Investments and Chuan Investments, which jointly bid for the property.

 

The sale is subject to approval of the Strata Titles Board and other conditions.

 

The joint tenderers will seek in-principle approval from the Singapore Land Authority to issue a fresh 99-year lease for the building, whose tenure began in June 1969.

 

Chip Eng Seng told the Singapore Exchange on Friday that it is seeking approval from the Urban Redevelopment Authority to redevelop the site into a commercial and residential mixed-use development. This will have a gross plot ratio of at least 5.6 and a gross floor area of at least 21,746.48 sq m, for which the commercial component will be up to 20 per cent of the total gross floor area.

 

Sitting on a trapezoidal island plot spanning 41,799 sq ft, the property is currently zoned " commercial" with a plot ratio of 4.3.

 

It is in the immediate vicinity of the dining and entertainment precinct along Tras Street, Duxton Hill and Keong Saik Road.

 

Located at the fringe of the Tanjong Pagar planning area, it is expected to benefit from the area' s rejuvenation alongside the planned development of the Greater Southern Waterfront precinct.

 

On Jan 7, Haiyi Holdings (Haiyi) acquired 1,332,350 shares of SingHaiyi Group for a consideration of S$95,929 at 7.2 Singapore cents per share.

 

The married deal increased the deemed interest of SingHaiyi Group managing director Celine Tang in SingHaiyi Group from 64.77 per cent to 64.80 per cent. Her preceding acquisitions of more than 18 million shares between Aug 21 and Sept 1 were also booked at 7.2 cents per share.

 

Mrs Tang also serves as managing director of Haiyi where she oversees its daily operations and decision-making, and is the non-executive chairman of Chip Eng Seng Corporation and OKH Global.

 

SingHaiyi Group recorded total revenue of S$50.6 million for H1FY21 (ended Sept 30) compared to S$12.9 million for H1FY20, an increase of S$37.7 million, mainly due to revenue recognised for Parc Clematis of S$44.8 million, offset by the absence of revenue recognised for Vietnam Town phase 2 of S$5.8 million.

 

A SURGE in revenue from sales at its Clementi condominium helped improve SingHaiyi Group' s bottom line for the April-September period.

 

The real estate developer' s net loss narrowed to about S$4.6 million for the six months, from a S$12.8 million net loss a year ago.

 

Loss per share stood at 0.109 Singapore cent for the first half of FY2021, compared with a loss per share of 0.302 cent in the year-ago period.

 

Revenue almost quadrupled year on year to S$50.6 million, from S$12.9 million previously, said the mainboard-listed company in results released on Tuesday.

 

This was mainly due to S$44.8 million in revenue recognised for the Parc Clematis condominium in Clementi.

 

It was partially offset by the absence of revenue recognised for the second phase of Vietnam Town of S$5.8 million. Vietnam Town is a commercial condominium project in San Jose, California, with more than 30 per cent of the 141 units sold to date, SingHaiyi said.

 

In Singapore, as at Oct 31, the group has sold 990 units of Parc Clematis and a total of 27 units of The Gazania and The Lilium, both of which are near Bartley MRT station.

 

SingHaiyi said it has recognised progressive revenue from these three residential projects, and expects this to continue for the financial year ahead.

 

The group' s gross profit margin shrank by 16.2 percentage points on the year, attributable mainly to the change in geographical revenue mix as more revenue from property development in Singapore with a lower profit margin was recognised in H1 FY2021.

 

No dividend was declared for the six months as it is not the company' s practice to distribute interim dividends.

 

MAINBOARD-LISTED developer SingHaiyi Group is again paring its stake in Cromwell Property Group, with a share sale to an ARA Asset Management Holdings unit.

 

SingHaiyi accepted a tender offer from ARA on Monday for roughly 17.5 million stapled securities, priced at A$16.1 million (S$15.9 million), the board said in a filing.

 

SingHaiyi had a 2.3 per cent interest in Australian real estate investment manager Cromwell as at March 31. Its ownership will be reduced to 1.6 per cent after this transaction, which is expected to yield a disposal gain of A$2.1 million.

 

The SingHaiyi board said that the sale proceeds will be used to repay bank loans, which is expected to enhance the financial flexibility of the company.

 

SingHaiyi has accepted an offer price of A$0.92 for each stapled security, representing a premium of 14.9 per cent to the distribution-adjusted, volume-weighted average price of A$0.80 for the 30 trading days up to Aug 14, 2020

 

Last November, SingHaiyi sold three million stapled securities for A$3.96 million, or A$1.2935 apiece, to an undisclosed buyer.

 

Singapore-based fund manager ARA, which is Cromwell' s largest shareholder, launched a takeover bid for the real estate group in June - offering to buy 29 of every 100 stapled securities that it did not already own, at A$0.90 each.

 

SingHaiyi shares closed up by 0.1 Singapore cent, or 1.39 per cent, to 7.3 Singapore cents on Monday, before the latest announcement.

 

Cromwell is the sponsor of Singapore-listed Cromwell European Reit, which ended at 0.46 euro on Monday, down by 3.16 per cent.

 

The management of Cromwell had previously accused ARA of being associated with SingHaiyi' s controlling Tang family, but the Australian Takeovers Panel rejected an application to declare that the two parties had an association, said earlier press reports.

 

On Sept 1, Haiyi Holdings Pte Ltd (Haiyi) acquired 12,708,300 shares of SingHaiyi Group for a consideration of S$914,998 at 7.2 cents per share. The married deal increased SingHaiyi group managing director Celine Tang' s deemed interest in SingHaiyi Group from 64.47 per cent to 64.77 per cent.

 

The preceding acquisition of 5,960,900 shares, between Aug 21 and 26 was also booked at 7.2 cents per share.

 

Prior to the recent wave of acquisitions of SingHaiyi Group shares by Haiyi since Aug 13, Mrs Tang' s deemed interest stood at 63.17 per cent.

 

She also serves as managing director of Haiyi where she oversees its daily operations and decision-making. She is also the non-executive chairman of Chip Eng Seng Corporation and OKH Global.

 

On Aug 13, Haiyi Holdings Pte Ltd (Haiyi) acquired 44,949,850 shares of SingHaiyi Group for a consideration of S$3,236,389 at 7.2 cents per share. The married deal increased its direct stake in SingHaiyi Group from 63.17 per cent to 64.24 per cent. With a further acquisition of 3.73 million shares on Aug 19, SingHaiyi Group managing director Celine Tang maintains a 64.33 per cent total interest in the listed company.

 

She is also the managing director of Haiyi where she oversees its daily operations and decision-making. Mrs Tang also serves as the non-executive chairman of Chip Eng Seng Corporation and OKH Global.