Compiled by Andrea Soh
CAPITALAND | BUY
SEPT 8 CLOSE: $3.70
TARGET PRICE: $4.13
OCBC Research, Sept 8
CapitaLand reports that it is investing about $300 million in Indonesia, South-east Asia's largest economy.
The group's first integrated development in Indonesia, The Stature Jakarta, is on track to be completed in 2020 at a total development cost of $220million.
CapitaLand will further expand its presence by investing $74.3million in a 192-unit serviced residence, Ascott Sudirman Jakarta, through The Ascott.
The group reports that it has identified Indonesia as a growth market, which is underpinned by sound fundamentals such as steady economic growth, rapid urbanisation, increasing domestic consumption, a young population and a rising affluent middle class.
KEPPEL TELECOMMUNICATIONS & TRANSPORTATION | BUY
SEPT 8 CLOSE: $1.515
TARGET PRICE: $1.90
UOB Kay Hian, Sept 8
KTT's chosen DC development strategy will bring about faster DC development and related benefits but create greater uncertainty in the short term.
Nonetheless, datacentre demand remains strong and KTT, through ADCF, is primed to reap fee income from this trend.
We opt for more conservative assumptions and lower 2017-19 earnings forecasts by 24 per cent to 32 per cent.
CWT LIMITED | ACCEPT OFFER
SEPT 8 CLOSE: $2.31
OCBC Research, Sept 8
Chinese conglomerate HNA Holding Group announced its intention to make the voluntary conditional offer (VGO) for CWT Limited now that all of the pre-conditions have been satisfied or waived (as the case may be).
Ending the uncertainty over HNA's ability to fund the acquisition, China International Capital Corporation (Singapore) confirms that sufficient financial resources are available to HNA to satisfy full acceptance of the VGO and notes that HNA has no holding of CWT.
In addition, pursuant to the vendor undertakings, the VGO will become unconditional as to acceptances upon the vendors tendering their CWT shares in acceptance of the offer.
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