CapLand China T    Last:0.65    -0.01

CapitaRetail China Trust (CRCT)

Borrow!
Preferential offering!!
Capital Recycling!!!

ysh2006      ( Date: 08-Nov-2020 11:11) Posted: Buy so many Malls where to get so much money ..? Cut divident cut corners few years to recover back ?...if many shops like Robinson than troubles already!!... Joelton      ( Date: 07-Nov-2020 13:02) Posted: CRCT proposes to buy five business parks, remaining stake in mall for 4.95b yuan   THE manager of CapitaLand Retail China Trust (CRCT) has proposed to buy five business park properties and the balance 49 per cent interest in its Rock Square mall asset for an agreed property value of about 4.95 billion yuan (S$1.01 billion) from related parties.   The five business park properties are located in Suzhou, Xian and Hangzhou, while Rock Square is located in Guangzhou, the real estate investment trust' s (Reit) manager said in a bourse filing on Friday. This makes the proposed acquisition CRCT&rsquo s largest to date.   Total acquisition cost is estimated at about S$822.4 million, subject to post-completion adjustments, said the Reit' s manager.   CRCT is looking to acquire a 51 per cent interest in the Ascendas Xinsu portfolio in Suzhou. In Xian, it is proposing to buy an entire stake in Ascendas Innovation Towers and an 80 per cent interest in Ascendas Innovation Hub.   Meanwhile in Hangzhou, CRCT has proposed to acquire an 80 per cent interest in Singapore-Hangzhou Science & Technology Park (SHSTP) Phase I and an 80 per cent interest in SHSTP Phase II.    Speaking to the media and analysts at a briefing on Friday, Tan Tze Wooi, chief executive of the manager said that business parks in China are &ldquo strongly supported&rdquo by the country&rsquo s economic growth initiatives, and stand to benefit from the preferential policy support anchored by national and local government initiatives.   He added that the demand-led growth that business parks will see, particularly in the strategic and value-added industries, along with the decentralisation trend among various enterprises towards China&rsquo s Tier 2 cities - where the targets are located - provide the &ldquo impetus for a favourable outlook of business parks&rdquo , noting that they are also supported by &ldquo excellent transport, infrastructure and connectivity&rdquo .   On its Rock Square proposed investment, the manager said the mall has achieved double-digit positive rental reversions in 2018, 2019 and the year-to-date September 2020. It continues to demonstrate resilience post the Covid-19 lockdown, it added.    Having full ownership of Rock Square will allow CRCT to fully capture the upside from asset enhancement initiatives (AEIs). Ongoing AEIs are expected to create more than 1,000 square metres of net lettable area over the next two to three years.    CRCT intends to finance the acquisition through an optimal mix of debt, equity and hybrid securities which will result in distribution per unit accretion, the manager said. The proposed acquisition is expected to be completed by Q1 2021.   Subject to unitholders&rsquo approval at an extraordinary general meeting to be convened at a later date, CRCT' s enlarged portfolio will consist of 18 properties, with its gross floor area increasing by 76 per cent to about 1.8 million square metres. Assets under management will uplift by 28.5 per cent to about S$4.5 billion, while net property income will grow substantially by 54.1 per cent on a pro forma H1 2020 basis, he added.   The business parks will contribute more than 40 per cent in gross floor area to CRCT&rsquo s enlarged portfolio post-acquisition.   Relative to the overall business parks market - which has a vacancy of about 15 to 20 per cent, the properties that CRCT are acquiring have an occupancy rate of more than 90 per cent, demonstrating their strong position in the marketplace and ability to command demand, said Mr Tan.   While leasing activities, especially in the first half of the year, have slowed as a result of the Covid-19 pandemic, the manager is positive that CRCT will see a better operating environment going into 2021, he added.   That being said, divestments can also be expected for some of the Reit&rsquo s less competitive assets in its portfolio.   Wuhan&rsquo s CapitaMall Minzhongleyuan, for instance, could be a &ldquo potential candidate&rdquo , said You Hong, head of investment and portfolio management of the manager.   In the long run, Mr Tan said CRCT is looking to position itself as a &ldquo well diversified China Reit play&rdquo , which means moving away from being just a retail-centric Reit.    The business parks and industrial space - which are under the new economy sectors, are areas that the manager is interested to further look at in terms of opportunity, &ldquo both in-house and external&rdquo .

 

Buy so many Malls where to get so much money ..? Cut divident cut corners few years to recover back ?...if many shops like Robinson than troubles already!!...

Joelton      ( Date: 07-Nov-2020 13:02) Posted: CRCT proposes to buy five business parks, remaining stake in mall for 4.95b yuan   THE manager of CapitaLand Retail China Trust (CRCT) has proposed to buy five business park properties and the balance 49 per cent interest in its Rock Square mall asset for an agreed property value of about 4.95 billion yuan (S$1.01 billion) from related parties.   The five business park properties are located in Suzhou, Xian and Hangzhou, while Rock Square is located in Guangzhou, the real estate investment trust' s (Reit) manager said in a bourse filing on Friday. This makes the proposed acquisition CRCT&rsquo s largest to date.   Total acquisition cost is estimated at about S$822.4 million, subject to post-completion adjustments, said the Reit' s manager.   CRCT is looking to acquire a 51 per cent interest in the Ascendas Xinsu portfolio in Suzhou. In Xian, it is proposing to buy an entire stake in Ascendas Innovation Towers and an 80 per cent interest in Ascendas Innovation Hub.   Meanwhile in Hangzhou, CRCT has proposed to acquire an 80 per cent interest in Singapore-Hangzhou Science & Technology Park (SHSTP) Phase I and an 80 per cent interest in SHSTP Phase II.    Speaking to the media and analysts at a briefing on Friday, Tan Tze Wooi, chief executive of the manager said that business parks in China are &ldquo strongly supported&rdquo by the country&rsquo s economic growth initiatives, and stand to benefit from the preferential policy support anchored by national and local government initiatives.   He added that the demand-led growth that business parks will see, particularly in the strategic and value-added industries, along with the decentralisation trend among various enterprises towards China&rsquo s Tier 2 cities - where the targets are located - provide the &ldquo impetus for a favourable outlook of business parks&rdquo , noting that they are also supported by &ldquo excellent transport, infrastructure and connectivity&rdquo .   On its Rock Square proposed investment, the manager said the mall has achieved double-digit positive rental reversions in 2018, 2019 and the year-to-date September 2020. It continues to demonstrate resilience post the Covid-19 lockdown, it added.    Having full ownership of Rock Square will allow CRCT to fully capture the upside from asset enhancement initiatives (AEIs). Ongoing AEIs are expected to create more than 1,000 square metres of net lettable area over the next two to three years.    CRCT intends to finance the acquisition through an optimal mix of debt, equity and hybrid securities which will result in distribution per unit accretion, the manager said. The proposed acquisition is expected to be completed by Q1 2021.   Subject to unitholders&rsquo approval at an extraordinary general meeting to be convened at a later date, CRCT' s enlarged portfolio will consist of 18 properties, with its gross floor area increasing by 76 per cent to about 1.8 million square metres. Assets under management will uplift by 28.5 per cent to about S$4.5 billion, while net property income will grow substantially by 54.1 per cent on a pro forma H1 2020 basis, he added.   The business parks will contribute more than 40 per cent in gross floor area to CRCT&rsquo s enlarged portfolio post-acquisition.   Relative to the overall business parks market - which has a vacancy of about 15 to 20 per cent, the properties that CRCT are acquiring have an occupancy rate of more than 90 per cent, demonstrating their strong position in the marketplace and ability to command demand, said Mr Tan.   While leasing activities, especially in the first half of the year, have slowed as a result of the Covid-19 pandemic, the manager is positive that CRCT will see a better operating environment going into 2021, he added.   That being said, divestments can also be expected for some of the Reit&rsquo s less competitive assets in its portfolio.   Wuhan&rsquo s CapitaMall Minzhongleyuan, for instance, could be a &ldquo potential candidate&rdquo , said You Hong, head of investment and portfolio management of the manager.   In the long run, Mr Tan said CRCT is looking to position itself as a &ldquo well diversified China Reit play&rdquo , which means moving away from being just a retail-centric Reit.    The business parks and industrial space - which are under the new economy sectors, are areas that the manager is interested to further look at in terms of opportunity, &ldquo both in-house and external&rdquo .

 

Thank you tang,
I thot u sailed already. The winds are favorable for a departure. Get ready then to sail. And 一 帆 风 顺 !

 

Welcome aboard CRCT, Maximus! Our ship is still moored to the port and collecting passengers. Ready to depart at 9am sharp tmr!

St.Maximus      ( Date: 08-Nov-2020 06:39) Posted: Guys, we have a new American President. He is Joe Biden! A new dawn and new US relations with the world

 

Guys, we have a new American President. He is Joe Biden! A new dawn and new US relations with the world

 

Expanding huat 

moron101      ( Date: 07-Nov-2020 13:35) Posted: Monday gap up 1.30 Huat. 😄 😃 😁 😆

 

Monday gap up 1.30 Huat. 😄 😃 😁 😆

 

 

Well,... bros,... I said the below abt the new investment mandate back in early October.

And the event has taken place today, hence, qualifying my investing concept.. actually I expected the REIT Mgr to announce this acquisition at end-October instead of Nov 6th today,... but,... my instincts told me,... this acquisition has been planned since the day the new investment mandate was announced. A new investment mandate needs 30 days before it can come into effect,.. at least for this one. That' s why I said end-October, because the ann' t ot the expanded mandate was on Sep 30th,...

Happy to be right,... I' ll conrinue investing in REITs.

chengwh1      ( Date: 09-Oct-2020 14:08) Posted: Congratulations to unitholders here,... I have to issue congrats for holders of three counters. For CRCT,... glad to have been able to receive positive consensus from investors on the probable effect moving forward from the expansion of the investment mandate. I remembered I was in the plane and the air-stewardess handed me a newspaper two years ago. IN the same paper, I read that Mapletree Industrial Trust (MINT) expanded its investment mandate to include Data Centres in the USA. I told myself,... MINT would have performed the study prior to initiating this, hence, it would be good for me to enter MINT now. Which I did. The rest of the events, as we all know,... has bode well for MINT subsequently (and for me too) after this expanded mandate. I have applied the same investing concept which I have earlier applied to MINT, over to CRCT today.

 

Still early

 

The 1.13 is illustrative only. Looks like from the equity they are planning to raise about 300m. If use a higher price say 1.20 then there is no need to issue as many shares? The dilution effect will be small even if priced at a discount to existing price. Much like maple logistics recently. Also no time frame yet. Maybe by the time the date is decided it's already at 1.40? Who knows... Maybe at 1.10? (But I doubt so). DYODD.

 

More like share placement than rights issue.

Announcement likely prepared last month, which explains the $1.13 issue price. 

By all means, sell some to reduce your risk.

huattogether      ( Date: 06-Nov-2020 14:54) Posted: So is it better to sell now and buy back after the rights issue?

 

So is it better to sell now and buy back after the rights issue?

 

Oh, thanks for info.
Didn' t go that far reading the announcement.
My bad.

IceMountain      ( Date: 06-Nov-2020 13:58) Posted: They seems to be prepared for rights issue at price of current estimate $1.13. Sponsor already give undertaking to subscribe and pay in full for its total provisional allotment of the preferential offering units, if it happens. And on Page 36 of their announcement in SGX. they give the average price of $1.13 for price of new units to issue + new units that will be paid as acquisition fee to manager. " Includes (a) the number of New Units issued in connection with the Equity Fund Raising at an illustrative average issue price of S$1.130, (b) approximately 8.9million new Units issuable as payment for the Acquisition Fee payable to the Manager at illustrative issue price of S$1.130per new Unit."   pkli899      ( Date: 06-Nov-2020 11:30) Posted: Too early to tell. Can be private placement which holders like us will not get. Even if is rights issue also got difference

 

They seems to be prepared for rights issue at price of current estimate $1.13.

Sponsor already give undertaking to subscribe and pay in full for its total provisional allotment of the preferential offering units, if it happens.

And on Page 36 of their announcement in SGX. they give the average price of $1.13 for price of new units to issue + new units that will be paid as acquisition fee to manager.

" Includes (a) the number of New Units issued in connection with the Equity Fund Raising at an illustrative average issue price of S$1.130, (b) approximately 8.9million new Units issuable as payment for the Acquisition Fee payable to the Manager at illustrative issue price of S$1.130per new Unit."




 

pkli899      ( Date: 06-Nov-2020 11:30) Posted: Too early to tell. Can be private placement which holders like us will not get. Even if is rights issue also got difference. james.tann      ( Date: 06-Nov-2020 10:18) Posted: the method of financing will be " Combination of equity fund raising, perpetual securities, debt financing and internal cash resources" . Does Equity fund raising means rights issue?

 

CRCT hoot business parks - huat? 

 

Too early to tell.
Can be private placement which holders like us will not get.
Even if is rights issue also got difference.

james.tann      ( Date: 06-Nov-2020 10:18) Posted: the method of financing will be " Combination of equity fund raising, perpetual securities, debt financing and internal cash resources" . Does Equity fund raising means rights issue?

 

Lol, I believe the word " Rights" will scare the retail investors right away.

james.tann      ( Date: 06-Nov-2020 10:18) Posted: the method of financing will be " Combination of equity fund raising, perpetual securities, debt financing and internal cash resources" . Does Equity fund raising means rights issue?

 

the method of financing will be " Combination of equity fund raising, perpetual securities, debt financing and internal cash resources" . Does Equity fund raising means rights issue?

 

Mr Tan Tze Wooi, CEO, CRCTML, said: " The Acquisition, our largest to date, represents a transformative milestone in our continuing efforts to diversify and strengthen CRCT' s portfolio. It presents a unique opportunity to acquire a portfolio of five quality business park properties at an attractive aggregate NPI yield of 6.8% and gain an immediate foothold in the resilient sector. 

" As the dedicated Singapore-listed REIT for CapitaLand Group&rsquo s non-lodging China business, CRCT has access to a vast acquisition pipeline through CapitaLand' s China assets, as well as opportunities from third-parties."