Frencken Group Likely Preparing 'War Chest' for Multiyear Growth

Dow Jones
昨天

0559 GMT - Frencken Group is likely preparing a "war chest" for multiyear growth, Maybank Research's Jarick Seet says, noting the company's completed share placement of S$100 million. The "war chest" will probably lead to strategic investments and acquisitions, potentially within two years, the analyst says in a note. These could introduce new capabilities or generate more revenue that are recurring in nature, which would likely be a major positive for the technology-solutions provider. The brokerage maintains the stock's buy rating, but lowers the target price to 3.32 Singapore dollars from S$3.70 to account for dilution from the share placement. Shares are 2.85% higher at S$2.53.

 

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