Yanlord Land

[millionairemind]

May 25, 2009, 1.08 pm (Singapore time)

Yanlord, Sembcorp JV to build Nanjing business park

SINGAPORE - Singapore-listed Yanlord Land and Sembcorp Industries said on Monday they will jointly develop a business park in the Chinese city of Nanjing that will cater to high-tech businesses.

Yanlord and Sembcorp will join Singapore's Surbana Land in a joint venture that will build 6 million square feet of commercial, industrial and residential space at Jiangxinzhou which is 6.5 kilometres from Nanjing's city centre.

The two companies did not say how much the project would cost. -- REUTERS

[winston]

DJ MARKET TALK: CIMB Raises Yanlord Target To S$1.87; Neutral

0643 GMT [Dow Jones] STOCK CALL: CIMB raises Yanlord Land (Z25.SG) target price to S$1.87 from S$1.32, maintains Neutral rating. Says China property market improving with home sales rebounding on back of government stimulus measures, signs that price stability being restored.

Says Yanlord's year-to-date sales are encouraging, pick up in Shanghai property market bodes well for developer's flagship Shanghai Yanlord Riverside project. Raises FY09, FY10, FY11 earnings estimates by 16.7%, 6.1%, 6.5% respectively; says new target price pegged at 20% discount to net asset value vs previous 40%.

But says high inventory continues to overhang sector, China property plays' share prices looking stretched after recent rally; "its current valuation looks unappealing relative to its comparables." Shares +2.6% at S$1.98.

[winston]

DJ MARKET TALK: UOB KayHian Lifts Yanlord Target To S$3.17

0202 GMT [Dow Jones] STOCK CALL: UOB KayHian raises Yanlord Land (Z25.SG) target price to S$3.17 from S$2.87, based on 10% premium to S$2.88/share RNAV, to assume higher average selling prices for China-based developer's residential projects.

Keeps Buy call, says stock remains one of its favorites in China's property sector as 60% of its NAV derived from Shanghai, neighboring cities, where "property prices going forward will benefit from the development of Shanghai into a major global financial hub".

Adds land bank comprises urban locations where demand is more assured, prices are firmer. Raises FY09-10 earnings forecasts by 9%, 20% to S$265 million, S$330 million respectively. Stock off 0.5% at S$2.23.

[winston]

While the expert Analysts are asking you to buy, the owners have no problem selling to you ...

Yanlord to raise $346 million in sale of shares, bonds

SINGAPORE, June 18 (Reuters) - Singapore-listed property firm Yanlord said on Thursday it is aiming to raise about S$503 million ($346 million) through the sale of shares and convertible bonds.

The proceeds will be used for investments, acquisitions and strategic alliances, the company said in a statement to the Singapore stock exchange.

Yanlord said it would sell 110 million shares at S$2.08 each, or at the lower end of an indicative price of S$2.08-S$2.16 a share, a range disclosed by sources to Reuters late on Wednesday.

The company also plans to sell S$275 million in five-year convertible bonds at 5.85 percent, with an option to upsize the deal by another S$100 million.

There will be a put option at the end of the third year.

JP Morgan and RBS are handling the deal.

The company also said a controlling shareholder is separately selling 10 million shares at S$2.08, raising S$20.8 million shares

[winston]

Yanlord is ranked only #19 for new poperty sales in China.

[millionairemind]

Published July 4, 2009

Brokers' Take

Yanlord Land Group
Buy
DBS Group Research
July 3 close: $2.55

ON June 18, 2009, Yanlord announced the placement of 120 million ordinary shares (110 million new and 10 million vendor) at $2.08 per share, and $275 million convertible bonds due July 2014 (with a redemption option in July 2012 and a conversion price of $2.62/share) with an upsize option for an additional $100 million in convertible bonds. The fundraising will improve its balance sheet (net gearing of 0.35 post-placement) though the group has indicated that it is comfortable with a gearing ratio of around 0.5-0.6.

Including the upsize option, net proceeds will amount to about $600 million. The additional funds will be used to fund the acquisition of new development sites. The group has identified Shanghai and Chengdu as potential cities where landbank replenishment could be imminent, with Shanghai being a key city given its traditional presence and strong brand equity as well as diminishing landbank in the city following the recent spate of strong sales.

Turning attention to Nanjing and Tianjin. We expect that pre-sales would have reached at least 5.8 billion yuan in H1 2009 for Yanlord (5M 2009 sales was already 5.3 billion). Going forward, as inventory of its Riverside City project in Shanghai has been depleted, future sales of the new phases at this project will likely take place only in 2010/2011. Attention will be turned to its Nanjing and Tianjin projects for the remainder of the year and we expect average selling prices (ASPs) of around 15,000 yuan/square meter (sm) and 16,000 yuan/sm respectively for the two projects. This will be Yanlord's maiden foray into Tianjin and we expect interest to be strong.

Positive on Shanghai high-end. Due to recent strong takeup, Shanghai's supply inventory has been reduced to just around three-four months. Supply scarcity is particularly pronounced for properties in the high-end segment of the market. Our sector view is that the Shanghai high-end segment is expected to outperform that in other cities. Given Yanlord's brand equity and track record in this sub-segment, we believe that future land acquisitions will continue to drive earnings growth for the group, even as margins retreat to more normalized levels from current supernormal EBIT margins of about 70 per cent for its Shanghai Riverside City project.

We reiterate our 'buy' call, on the basis that forthcoming land acquisitions will provide a catalyst for the stock. Our revised RNAV is $3.13 (from $3.02). We maintain our 10 per cent discount to RNAV for a new TP of $2.81 (prev $2.72).

[LenaHuat]

This news makes me sit up. This stretch of Zhuhai is immeasurably scenic.
Could any1 who's vested please comment? This is going to the top of my laundry list.

Singapore / Hong Kong / Zhuhai – 17 July 2009 – Yanlord Land Group Limited (“Yanlord”, and together with its subsidiaries, the “Group”), a real estate developer focused on developing high-end residential and commercial property projects in strategically selected key and high-growth cities in the People’s Republic of China (“PRC”), announced today the ground-breaking for its RMB 4.0 billion integrated residential and commercial development in Zhuhai, China – Zhuhai Yanlord Marina Centre (仁恒滨海中心).

Conducted amidst much fanfare, the ground-breaking ceremony signifies the beginning of the development of approximately 300,000 square metre (“sqm”) gross floor area (“GFA”) of integrated residential and commercial development consisting of high-end residential apartment units, retail mall, Grade A office space and a five-star hotel.

With an estimated development cost of approximately RMB 4.0 billion, this latest development underlines the Group’s strategic initiative to develop a robust investment portfolio and will serve to further extend Yanlord’s presence in the Pearl River Delta Region. Ideally situated in Zhuhai City Centre and adjacent to the Zhuhai-Macau immigration checkpoint at Gongbei which is the gateway into Zhuhai, Yanlord Marina Centre will benefit from the strong economic developments in neighbouring Macau, Guangzhou and Hong Kong as well as key infrastructural investments in the city. Resting on the key thoroughfare between Macau and Guangzhou, Yanlord Marina Centre is linked to the economic hubs of the Pearl River Delta Region via key transportation modes such as the light-rail train linking Zhuhai and Guangzhou and the eventual development of a bridge linking Hong Kong, Zhuhai and Macau.

[winston]

Not vested. Yanlord has a very good brand. Not sure whether the Shanghai corruption incident is behind them though ..

The urbanization trend will continue for the first and second tier cities. Not sure that there's such a trend for Zhuhai.

BTW, Yanlord made their name in Shanghai.

Not sure about Zhuhai. It's a nice retirement community. Maybe some demand from the HK people, who likes to go there for golf, KTV and seafood ...

[LenaHuat]

Hi Winston
Thanks a million. I've a keen eye . I will continue posting more thoughts in this thread.

[Aspellian]

Thursday, 23 July 2009 18:31
Yanlord Land Group says today it had sold about 94% or 597 of the 636 apartment units in Nanjing Yanlord Yangtze Riverbay Town Phase 1 that were launched on July 18. The average selling price (ASP) achieved was about RMB15,000 psm ($3,162 psm) for the 76,600 sqm gross floor area launched.

Yanlord’s Chairman and Chief Executive Officer Zhong Sheng Jian, said, “We are heartened by the positive market response for the inaugural launch of apartment units at Nanjing Yanlord Yangtze Riverbay Town. Building on the success of our other developments in Nanjing such as Yanlord International Apartments, Bamboo Gardens, Orchid Mansions and Plum Mansions, this latest launch of apartment units achieved contracted pre-sales of approximately RMB 1.15 billion for the initial 597 apartment units sold during the first four days of the launch and stands testament to the continued consumer confidence in Yanlord’s commitment to deliver quality developments.

“Moving forward, we remain steadfast in our commitment to build internationally recognized developments and will seek to consistently exceed the expectations of our discerning customers. With the success of this inaugural launch, we are confident that sales of Nanjing Yanlord Yangtze Riverbay Town will contribute significantly to the Group’s future performance,” Zhong adds.