Frasers Logistics & Commercial Trust (Former FLIT)

Frasers Logistics & Commercial Trust (Former FLIT)

Postby winston » Thu Jun 16, 2016 8:27 pm

not vested

5 reasons to subscribe for Frasers Logistics & Industrial Trust: Lim & Tan

By Michelle Zhu

SINGAPORE (June 15): Lim & Tan Securities is making a “subscribe” call for Frasers Logistics & Industrial Trust (FLT) at an IPO price of 89 cents each. This comes ahead of FLT’s public offer tranche closure on Thursday at noon.

In a Wednesday report, Lim & Tan’s Singapore research team says FLT’s dividend yield of 6.8% for September this year and 7.3% for September 2017 is “attractive” compared to A-REIT’s dividend yield figures of 6.5% and 7% respectively. Its price to book of 1x is also cheaper than A-REIT’s 1.13x, it adds.

Furthermore, the team notes that the trust has hedged about half of their Australian dollar exposure, which is beneficial as the Australian dollar has already declined significantly against the Singapore dollar such that it is currently almost at parity.

The research house also lists the following reasons for its recommendation to subscribe:

1. Some alignment of interest for minority shareholders After the listing, the research house expects Frasers Centrepoint and TCC Asset to hold 22.5% and 6.3% of FLT respectively, which will help to provide “some alignment of interest” with minority shareholders.

2. Expectations of solid investor endorsement Close to half of the issue or 493 million units have already been taken up by 15 reputable cornerstone investors, which are mainly long-funds such as Morgan Stanley Investment Management, Blackrock Funds and DBS Bank. Lim & Tan says such investors “should help provide endorsement and stability to the offer”.

3. Attractive leasehold tenures and lease to expiry Compared to average tenure periods of 30-60 years offered by other Singapore-listed industrial and logistics IPOs, 30% of IPO’s portfolio will have a leasehold tenure of at least 80 years. 60% of the properties’ appraised value of $1.58 billion are freehold assets. The portfolio has a long-weighted average lease to expiry of about 7 years, with an expected average annual escalation of 3% that provides assured organic growth.

4. Set for portfolio growth Lim & Tan highlights FLT’s “well-mapped out” growth trajectory, with a call option for three properties, which are still under development, to be injected into the trust shortly after its IPO such that its portfolio size will increase from 51 to 54. The properties have already been 100% committed to incoming tenants, and is expected to be fully debt funded.

5. Low gearing ratio At 29%, FLT’s gearing ratio at IPO is considered low compared to the regulatory limit of 45% as well as its peer group average of 40%, says the research team. As such, the trust enjoys significant debt headroom to complete DPU accretive acquisitions without a need for dilutive equity issuances. Even with the acquisition of the three properties (point 4), FLT’s gearing ratio at 31-32% will still allow for debt headroom to potentially acquire 9 properties that its sponsor has granted FLT right of first refusal for.

FLT’s IPO portfolio is valued at $1.6 billion, and is Singapore’s biggest new listing in three years. It comprises 51 logistic and industrial properties with gross lettable area 1.2 million sqm of properties in three Australian cities.

Trading of FLT’s IPO shares will start on the SGX this June 21.

Source: The Edge
It's all about "how much you made when you were right" & "how little you lost when you were wrong"
User avatar
winston
Billionaire Boss
 
Posts: 118535
Joined: Wed May 07, 2008 9:28 am

Re: Frasers Logistics & Industrial Trust IPO

Postby winston » Thu Jun 16, 2016 8:28 pm

10 things to note about Frasers Logistics and Industrial Trust IPO

By Goola Warden

1. Frasers Logistics and Industrial Trust (FLT) is set to raise about $903 million after pricing its IPO at the top of its indicative range at 89 cents.

2. This is Singapore’s biggest new listing in three years.

3. About 521.7 million units will be sold to institutions and retail investors. Another 492.8 million units is set aside for cornerstone investors.

4. The portfolio at IPO comprises 51 logistic and industrial properties with gross lettable area 1.2 million sqm of properties in three cities: Melbourne (40%), Sydney (28%) and Brisbane (28%). Land tenure is freehold for 60% of the portfolio, with the rest are on long leases of 80 years. Occupancy is 98%.

5. The IPO portfolio is valued at $1.6 billion.

6. At IPO, the yield will be 6.83% or a DPU of 2.03 cents for three and a half months. That’s because FLT has a September year end. The forecast yield for FY2017 is 7.02%.

7. But if the call option for the acquisition of three properties are exercised on Oct 1, the forecast yield for FY2017 will rise to 7.3% or DPU of 6.5 cents.

8. Units of the REIT will be traded in Singapore dollars. Distributions will be paid in Singapore dollars with an option to receive in Australian dollars.

9. Gearing at IPO is 25% including the development properties but could rise to 31% next year if the call option properties were acquired.

10. The IPO closes at 12 pm, June 16. Trading will start on June 21 on the SGX.

Source: The Edge
It's all about "how much you made when you were right" & "how little you lost when you were wrong"
User avatar
winston
Billionaire Boss
 
Posts: 118535
Joined: Wed May 07, 2008 9:28 am

Re: Frasers Logistics & Industrial Trust

Postby behappyalways » Sat Jun 15, 2019 10:29 am

FLT divests 50% interest in Queensland property for A$134.2 mil
https://www.theedgesingapore.com/flt-di ... -a1342-mil
血要热 头脑要冷 骨头要硬
behappyalways
Millionaire Boss
 
Posts: 39929
Joined: Wed Oct 15, 2008 4:43 pm

Re: Frasers Logistics & Industrial Trust

Postby behappyalways » Thu Jul 04, 2019 1:32 pm

Frasers Logistics & Industrial Trust to acquire stakes in 12 properties in Germany, Australia from sponsor for $482 mil
https://www.theedgesingapore.com/news/p ... -australia
血要热 头脑要冷 骨头要硬
behappyalways
Millionaire Boss
 
Posts: 39929
Joined: Wed Oct 15, 2008 4:43 pm

Re: Frasers Logistics & Industrial Trust

Postby behappyalways » Fri Aug 02, 2019 5:06 pm

FLT raises $258.1 mil through private placement to help fund new acquisitions
https://www.theedgesingapore.com/capita ... quisitions
血要热 头脑要冷 骨头要硬
behappyalways
Millionaire Boss
 
Posts: 39929
Joined: Wed Oct 15, 2008 4:43 pm

Re: Frasers Logistics & Industrial Trust

Postby behappyalways » Thu Dec 05, 2019 3:17 pm

Frasers Logistics & Industrial Trust to acquire Frasers Commercial Trust for $1.54 bil in proposed merger
https://www.theedgesingapore.com/capita ... l-proposed
血要热 头脑要冷 骨头要硬
behappyalways
Millionaire Boss
 
Posts: 39929
Joined: Wed Oct 15, 2008 4:43 pm

Re: Frasers Logistics & Industrial Trust

Postby winston » Mon Feb 10, 2020 11:43 am

not vested

Frasers Logistics & Industrial Trust: A resilient portfolio in times of uncertainty

Frasers Logistics & Industrial Trust’s (FLT) 1QFY20 results came in within our expectations.

DPU grew 1.1% YoY in AUD terms to 1.83 A cents, but was down 2.2% in SGD terms to S$1.74 S cents as a result of a lower hedged exchange rate.

Although there was a slight overall negative rental reversion of 0.9% registered in 1QFY20, portfolio occupancy came in at 100%.

We believe industrial market trends remain largely firm in Australia and Europe.

After lowering our cost of equity assumption on FLT, we lift our fair value to S$1.37 (previously S$1.28).

We like FLT for its portfolio defensiveness. Besides its portfolio being fully occupied, average tenant retention is high at 80-90%, while WALE of 6.23 years is one of the highest within the S-REITs sector.

The main bugbear for us remains the weak AUD, but we believe the negative currency impact would be less pronounced in FY20 than in FY19.

Upgrade to BUY.

Source: OCBC
It's all about "how much you made when you were right" & "how little you lost when you were wrong"
User avatar
winston
Billionaire Boss
 
Posts: 118535
Joined: Wed May 07, 2008 9:28 am

Re: Frasers Logistics & Industrial Trust

Postby winston » Mon May 04, 2020 11:29 am

not vested

Frasers Logistics & Commercial Trust: Resilient as expected, but FX the main bugbear

Frasers Logistics & Commercial Trust (FLCT) (formerly known as Frasers Logistics & Industrial Trust) reported an in-line set of 2QFY20 results.

DPU grew 4.4% YoY in AUD terms to 1.90 A cents, but was down 1.7% in SGD terms to S$1.73 S cents as a result of a lower hedged exchange rate.

Its portfolio remains fully occupied, as at 31 Mar 2020, with a WALE of 6.07 years and flat rental reversions (+0.1%) during the quarter.

Post-merger with Frasers Commercial Trust which was completed on 29 Apr 2020, the combined entity’s portfolio occupancy would be 97.6% and 5.3 years, respectively.

In terms of COVID-19 impact, FLCT is collaborating closely with its tenants to provide support and roll out relief measures, as necessary, on a case-by-case basis.

Its financial position remains robust, with a gearing ratio of 35.0% and interest coverage ratio of 7.5x.

We lower our FY20F and FY21F DPU forecasts (in SGD terms) by 3.8% and 5.5%, respectively, which is attributed solely on a weaker AUD to SGD assumption.

Our fair value estimate moves from S$1.37 to S$1.31. BUY.

Source: OCBC
It's all about "how much you made when you were right" & "how little you lost when you were wrong"
User avatar
winston
Billionaire Boss
 
Posts: 118535
Joined: Wed May 07, 2008 9:28 am

Re: Frasers Logistics & Commercial Trust (Former FLIT)

Postby behappyalways » Tue Aug 04, 2020 4:23 pm

FLCT buys two properties from sponsor Frasers Property for $89.9 million
https://www.theedgesingapore.com/news/r ... 99-million
血要热 头脑要冷 骨头要硬
behappyalways
Millionaire Boss
 
Posts: 39929
Joined: Wed Oct 15, 2008 4:43 pm

Re: Frasers Logistics & Commercial Trust (Former FLIT)

Postby winston » Wed Aug 05, 2020 9:43 am

not vested

Active leasing activities in 3Q

3QFY9/20 distributable income of S$61.1m is deemed in line with expectations, at 30% of our FY20F forecast.

It announced a proposed acquisition of two new assets in Australia and UK.

Reiterate Add, with an unchanged DDM-based TP of S$1.43.

Source: CIMB

https://rfs.cgs-cimb.com/api/download?f ... 282E3E3BF2
It's all about "how much you made when you were right" & "how little you lost when you were wrong"
User avatar
winston
Billionaire Boss
 
Posts: 118535
Joined: Wed May 07, 2008 9:28 am

Next

Return to E to G

Who is online

Users browsing this forum: No registered users and 4 guests