Market Snapshot
Singapore stocks opened lower on Monday. STI fell 0.35%; Hong Leong Asia up 4%; Centurion, SingPost up 1%; Thomson Medical down 5.7%; Genting Sing, Singtel down about 1%.
Stocks in Focus
The following companies saw new developments that may affect trading of their securities on Monday (Aug 11):
CapitaLand Integrated Commercial Trust (CICT): The manager of the trust announced on Monday the in-principal approval of the listing and quotation of 284.4 million new units at an issue price of S$2.11 per new unit for a placement of around S$600 million. These will be listed on the Singapore Exchange mainboard. Units of the trust closed flat at S$2.26 on Friday.
Keppel: The group announced on Monday its proposed divestment of M1’s telecommunications business to Simba Telecom for an enterprise value of around S$1.4 billion. The consideration will be fully paid in cash and Keppel will receive close to S$1 billion in cash proceeds for its 83.9 per cent effective stake in M1. Shares of Keppel closed on Friday 0.8 per cent or S$0.07 down at S$8.58, before the news. It called for a trading halt on Monday morning.
CapitaLand Ascendas Reit (Clar): The manager on Monday announced the proposed development of Clar’s first logistics developments in the UK, for an estimated total investment cost of S$350.1 million. The trust is proposing to acquire two plots of freehold land, on which four new logistics properties will be developed. The new properties are set to boost the asset value of Clar’s UK logistics portfolio by 43.5 per cent to around S$1.2 billion. Units of Clar finished on Friday 0.4 per cent or S$0.01 lower at S$2.72.
Thomson Medical Group: The medical group announced on Friday night that it is expected to record a post-tax loss for the six months and financial year ended Jun 30. It cited higher interest expenses from its Far East Medical Vietnam acquisition, cessation of projects in Singapore and weaker performance in Malaysia – partly from the termination and discounts of certain insurance contracts – as primary reasons for the dip. The counter closed 3.6 per cent or S$0.002 down at S$0.053 on Friday.
Zheneng Jinjiang Environment: The China-based waste treatment group on Saturday posted a profit of 332 million yuan (S$59.4 million) for its first half ended Jun 30, up from 206.9 million yuan in the previous corresponding period. Its revenue stood at 1.82 billion yuan, a marginal increase of 0.6 per cent from 1.81 billion yuan in H1 2024. The counter finished on Friday flat at S$0.45.
SG Local News
HDB to Raise BTO Supply by 10% to 55,000 Flats Between 2025 and 2027
The Housing & Development Board (HDB) will launch about 55,000 Build-to-Order (BTO) flats between 2025 and 2027 across different parts of Singapore, including new areas such as Mount Pleasant, Woodlands North Coast, Sembawang North and the former Keppel Club.
This is 10 per cent more than the earlier number of 50,000 flats which HDB committed to launch, Minister for National Development Chee Hong Tat told the media in an interview on Tuesday (Aug 5).
“We will build more to have sufficient supply to meet the housing aspirations of Singaporeans. Having a strong BTO supply will also help to reduce demand in the resale market…and will help to moderate resale flat prices,” he said.
No More Sers for Older HDB Estates for Now, but Voluntary Scheme Likely to Begin in the 2030s
The government does not plan to continue its selective en bloc redevelopment scheme (Sers) to rebuild older public housing estates, said Minister for National Development Chee Hong Tat in a media interview on Tuesday (Aug 5).
Instead, its priority during this term of government is to develop the framework for the voluntary early redevelopment scheme (Vers), which will be implemented only from the first half of the 2030s, he said.
This means setting parameters to identify possible Vers sites, ensuring sufficient homes are ready in time for relocation of residents who are involved in the scheme, and working out a fair package for such residents.