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CapitaLand

Capitaland

That's what I thought ..... " Proceeds of S$485m from the placement will be available for redeployment towards new opportunities." ......

This presents opportunities since CapitaLand's retracement from $3.13 .....

WanSiTong ( Date: 21-Nov-2013 14:18) Posted:

CAPITALAND - PARING OF AUSTRALAND STAKE

We dialed into the analyst conference call for regarding CapitaLand?s paring of its stake in Australand from 59.1% to 39.1% via an overnight secondary placement. The placement was priced at A$3.685 per stapled security, representing a small discount of 1.7% to the closing price of Australand as of 20 Nov 2013. The placement increases Australand?s free float by approximately 50% and should significantly improve Australand?s ranking in the ASX 200 and ASX 200 A-REIT indices.

Here are the key highlights for CAPL: ...
1) Proceeds of S$485m from the placement will be available for redeployment towards new opportunities.
2) Divestment gain of S$9m
3) Revaluation/FV gain of S$27m (Remeasurement of FV of the remaining 39.1% stake, because placement was carried out at a price above the carrying value of Australand)
4) One-time accounting loss of S$163m is to flow through P& L related to the whole 59.1% portion because it will be deconsolidated Important to note that there will be no impact on CAPL?s NTA because this is a realisation of Foreign Currency Translation Reserve (FCTR) and hedging reserve losses Unrealised FCTR losses on CapitaLand?s balance sheet will be reduced from S$177m to S$55m

CAPL believes that its remaining stake in Australand still provides it a lot of flexibility and remains confident with its prospects.

We have a FV of S$3.77 and BUY rating on CAPL.

Source : OCBC Securities

UOB KAY HIAN says ?

CAPITALAND LTD | BUY | TP: S$4.35

CapitaLand has announced that it has entered into a secondary placement agreement to sell 115.66m (~A$400-433m) of stapled securities in Australand Property Group (Australand)
This represents an overall 20% stake in Australand, and comprises about 34% of the 341.89m Australand units that CapitaLand owns
The placement will reduce CapitaLand?s stake in Australand from 59.1% to 39.1%, bringing the shareholding level to that of an associate
Citigroup has underwritten the sale and has been appointed as the sole bookrunner for the issue
Allocation and pricing of the securities is expected to take place on 21 November 2013
We believe that represents a good opportunity for CapitaLand to partially monetize its stake in Australand, although we do not expect a significant gain from the share placement
We currently have a BUY on CapitaLand with a target price of S$4.35 based on 15% discount to its RNAV of S$5.11 per share

CAPITALAND - PARING OF AUSTRALAND STAKE

We dialed into the analyst conference call for regarding CapitaLand?s paring of its stake in Australand from 59.1% to 39.1% via an overnight secondary placement. The placement was priced at A$3.685 per stapled security, representing a small discount of 1.7% to the closing price of Australand as of 20 Nov 2013. The placement increases Australand?s free float by approximately 50% and should significantly improve Australand?s ranking in the ASX 200 and ASX 200 A-REIT indices.

Here are the key highlights for CAPL: ...
1) Proceeds of S$485m from the placement will be available for redeployment towards new opportunities.
2) Divestment gain of S$9m
3) Revaluation/FV gain of S$27m (Remeasurement of FV of the remaining 39.1% stake, because placement was carried out at a price above the carrying value of Australand)
4) One-time accounting loss of S$163m is to flow through P& L related to the whole 59.1% portion because it will be deconsolidated Important to note that there will be no impact on CAPL?s NTA because this is a realisation of Foreign Currency Translation Reserve (FCTR) and hedging reserve losses Unrealised FCTR losses on CapitaLand?s balance sheet will be reduced from S$177m to S$55m

CAPL believes that its remaining stake in Australand still provides it a lot of flexibility and remains confident with its prospects.

We have a FV of S$3.77 and BUY rating on CAPL.

Source : OCBC Securities

Singapore Property Sector - Beneficiaries and Highlights From Draft URA Masterplan 2013

Written By Stock Fanatic on Wednesday, November 20, 2013

The Urban Redevelopment Authority (URA) has released the draft Masterplan 2013. Our key views are as follows:

A step in the right direction, in our view, balancing the economic priorities of housing, commercial and industrial developments with greater emphasis on decentralisation, eco-friendly initiatives and better public accessibility.

Greater priority on integrated and mixed-use developments could benefit larger developers with relevant experience such as CapitaLand, Frasers Centrepoint (F& N), Keppel Land, and City Developments.

Southern Waterfront development with the relocation of the Pasir Panjang and Tanjong Pagar terminals will benefit Mapletree Commercial Trust with its substantial retail and commercial exposure in the area.

Land earmarked for 500,000 new homes, with greater emphasis on HDB estates, will provide new opportunities for HDB construction companies such as United Engineers, Chip Eng Seng, Hock Lian Seng and Tiong Seng, together with HDB estate managers such as Isoteam, and material suppliers such as Hafary.

Opportunities for underground development (eg. 800m pedestrianised street with underground mall at Marina Bay) to benefit specialised underground construction players such as Kori Holdings.

Marina Bay and Marina South to offer new opportunities for office, retail and entertainment amenities that will complement REITs with existing developments in the area, such as Keppel REIT and Suntec REIT. Further development in the Jurong Lake District will be advantageous to CapitaMalls Trust and CapitaMalls Asia.

Development of Woodlands North Coast and Woodlands Central, together with the rail linkage to Malaysia, will generate greater demand for malls and upcoming developments owned by Frasers Centrepoint Trust (eg Causeway Point and Northpoint) and Frasers Centrepoint/F& N.

Figure 1: Key Beneficiaries

Benefits to accrue over the medium to long term for the URA Masterplan. We remain cautious in the near term on the residential segment and prefer deep value and diversified property developers such as CapitaLand, Ho Bee and OUE as our top BUYs. (Read Report)

While Price Earnings ratios can be used to value property companies, the Price to Book ratio is also a good gauge as property companies have strong asset backing as compared to other types of companies. If we look at the Price to Book ratio of Capitaland, we see that the stock trades at an average of 0.8x book value. The current price reflects a Price to Book ratio that is at the lower end of its historical range.

Go to this page to see the chart.

http://www.investingtalk.net/using-price-to-book-ratio-to-value-property-companies.html

Capitaland has announced that it is reducing its stake in its Australian subsidiary Australand. This partial divestment will bring in about S$500m in cash adding to its already strong cash position of about S$5.2b. The company intends to use the cash for new opportunities.

There will be a divestment and fair value gains of $36 m but this will be offset by foreign currency translation reserve losses and hedging reserve losses of $163m due to the deconsolidation of Australand from its balance sheet (as Capitaland's holdings will be reduced from 59% to 39%), which means the loss has to be carried to the profit and loss account. However, there will not be any impact to the group's Net Tangible Asset as this has been accounted for.

CapitaLand will receive ~$485.3m in proceeds, but will book a loss of ~$127.5m, mainly due to recognition of FX translation losses and hedging reserves, which offset the divestment gain of $8.8m, fair value gain of $26.6m on re-measurement of the remaining stake. No material impact to the group?s NTA as the losses were already accounted for in equity, but 9M13 EPS will be reduced from $0.166 to $0.13, assuming the placement was effected 1 Jan ?13. Assuming that the cash proceeds are used to pay down debt at an average cost of 4.65%, Deutsche estimates that the divestment will dilute FY14-15 core earnings by 2%. Still the house believes valuations for CapitaLand are attractive at a 36% discount to RNAV of $4.88, c.1 standard deviation below its long term average. CapitaLand has already divested c.$900m in assets year to date, and further NAV crystallization could help narrow this discount. CapitaLand remains as Deutsche?s top sector pick, maintain Buy.

PROPERTY giant CapitaLand said that it has placed out 115.66 million stapled securities of its subsidiary, Australand, at A$3.685 each.

As a result, its stake in the Australian developer will be cut from 59.1 per cent to 39.1 per cent.

At A$3.685, the price represents a 1.7 per cent discount to the closing price of Australand yesterday.

CapitaLand president and CEO Lim Ming Yan said that the placement " will improve Australand's liquidity and attract more institutional investors" .

CapitaLand definitely has a bigger pile of cash now ?

BullsAndBear ( Date: 20-Nov-2013 15:08) Posted:

Depends on if the sale is a profit or loss. Not sure about how much are they going to sell the securities.

may be can hold on to our guns ..... it may turn out to be great blessings ..... is CapitaLand readying for it's next better move ?

CapitaLand is selling a portion of its stake in Australand Property Group (ALZ.AU), a residential and commercial real estate developer in Australia. CapitaLand has entered into a placement agreement with Citi Australia. as the bookrunner and underwriter for the sale of 115.66m securities or ~20% of Australand. CapitaLand, through its units Austvale and Ausprop , owns a 59.1% stake in Australand. Allocation and pricing of the securities are expected to take place Thursday. Australand shares are reportedly being offered at between A$3.685 and A$3.75 per security, valuing CapitaLand's 20% stake at between A$426.2m and A$433.7m. The top end of the range represents a 0% discount to the stock's last traded place, while the bottom of the range represents a 1.7% discount. Australand shares have rallied 10.3% ytd. Australand said Tuesday that it expects to deliver an operating profit after tax of A$148m for FY13, hitting the upper end of previous guidance of EPS, growth of between 3% and 4%.

Depends on if the sale is a profit or loss. Not sure about how much are they going to sell the securities.

Like that ah..consider good or bad news..

1. INTRODUCTION
CapitaLand Limited (?CapitaLand?) wishes to announce that its wholly-owned
subsidiaries, Austvale Holdings Ltd and Ausprop Holdings Limited (collectively, the
?Sellers?), have today entered into a placement agreement (the ?Placement
Agreement?) with Citigroup Global Markets Australia Pty Limited (?Citi?) appointing
Citi as the sole bookrunner and underwriter for the sale of stapled securities in
Australand Property Group (?Australand?) in a secondary placement exercise
(?Secondary Placement?). CapitaLand, through the Sellers, has an interest of
approximately 59.1% (comprising 341,885,375 stapled securities) in Australand.
2. DETAILS OF THE SECONDARY PLACEMENT
By the Placement Agreement, the Sellers agreed to sell an aggregate of 115.66
million stapled securities on issue (the ?Securities?) in Australand and Citi has
underwritten the sale through an overnight accelerated book build process. The
Securities represent approximately 20% of total stapled securities issued by
Australand.
Allocation and pricing of the Securities is expected to take place on 21 November

2013. An announcement of the terms of the Secondary Placement will be made by

CapitaLand following allocation and agreement on the pricing of the Securities.

Let's not 2nd guess. Shall see what announcement they are going to make.

bishan22 ( Date: 20-Nov-2013 12:15) Posted:

More bad news. Hopeless property counter.

BullsAndBear ( Date: 20-Nov-2013 12:14) Posted:

Counter halted ? Anyone know what's going on ? Hopefully some good news haha!

More bad news. Hopeless property counter.

BullsAndBear ( Date: 20-Nov-2013 12:14) Posted:

Counter halted ? Anyone know what's going on ? Hopefully some good news haha!

capitaland broke out!

http://stockmarketmindgames.blogspot.sg/2013/11/capitaland-top-volume-gap-up.html

they take care of pocket first mah...bonus coming..

bishan22 ( Date: 06-Nov-2013 13:43) Posted:

Useless chak liao bee directors. Sit n collect salaries.

cooldred ( Date: 06-Nov-2013 12:30) Posted:

Is capitaland doing that bad? Every stock is flying up yet this counter stall at 3.09 for days..

Look out for the TA of 50MA and 100MA of this stock. Looks set to have a bullish cross over.

4/4 of the houses have a buy rating call on this counter with potential up side of a staggering 36% on average buy TP.

OCBC- Buy with TP : $3.77 ( 13/11/13)

UOB-KayHian -Buy with TP : $4.35 ( 01/11/13)

MayBank-KimEng - Buy with TP : $4.10 (01/11/13)

CIMB - Buy with TP : $3.91 (01/11/13)

Source:

Today move up 6cts leh, why huh?

bishan22 ( Date: 06-Nov-2013 13:56) Posted:

No company buy back to assure investors. Even local soup restaurant hv buy back. Pui.

bishan22 ( Date: 06-Nov-2013 13:43) Posted:

Useless chak liao bee directors. Sit n collect salaries.

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Capitaland

Written By Stock Fanatic on Wednesday, November 20, 2013