IGBREIT Q2'14

IGB REIT's rental income growth remains robust

Source: The Edge Financial Daily

IGBREIT Q1'14

All negatives priced in for REITs

Source: The Edge Financial Daily 

IGBREIT Q2'13

Nothing to surprise with their quarterly report.  The result is within their expectation.
DY = 5.44% (based on today's closing price RM 1.26)

IGBREIT Q1'13

REITs enhancing assets for higher returns

Malaysian REITs losing lustre

PETALING JAYA: Local real estate investment trusts' (REITs) allure for investors may be waning on a combination of factors, including lower returns due to REIT prices approaching target prices pegged by analysts.

Analysts said that while the industry's longer-term prospects remained positive, REITs were now downgraded to “neutral” as unit prices approached targets.

Maybank Investment Bank Bhd analyst Wong Wei Sum said the average gross yield for Malaysian REITs was a trough of 6.4% compared to 6.6% in January 2013 and 7.4% at January 2012.

She said in a report that investors might be adopting more aggressive strategies post-general election (GE) as some of them had used defensive strategies after close to two years.

“Investors may adopt a more aggressive approach for the property sector favouring the high-beta developers post-GE,” she added.

Other reasons for the change in weighting included competition from business trust and potential higher overnight policy rate (OPR) in the fourth quarter, which was expected to see a 25 basis-point hike in anticipation of a higher inflation rate, she said.

Meanwhile, two other analysts told StarBiz that OPR estimates by their respective research houses were maintained at healthy levels, which would not pressure the profitability of REITs.

Wong also said: “DiGi.Com Bhd, the third-largest telco in Malaysia, is mulling over setting up a business trust, we understand. If it were to materialise, DiGi's net dividend yield would be even more attractive than the current level of 5.3% (financial year 2014) and more competitive than large-cap Malaysian REITs' 4.4% (net yield).”

She added that competition could also stem from asset-rich developers like WCT Bhd, Dijaya Corp Bhd and Malaysian Resources Corp Bhd to unlock their assets value through REITs.

A general view of Mid Valley City. Maybank Investment Bank has downgraded IGB REIT to ‘hold’ while it has a ‘buy’ call on CapitaMalls Malaysia Trust.

An Affin Investment Bank Bhd analyst said competition posed by business trust in the near term would be minimal as investors might need time to understand its structure.

An RHB Research analyst said REIT sponsors had to inject at least RM1bil worth of assets to the instruments to achieve decent viability and liquidity.

She said that judging from the current completed assets that some of the developers had, it might take them a few more years to grow the asset sizes before listing them as REITs.

Thus, she did not see stiff competition from the REIT universe in the near term while KLCC Stapled REIT, which was en route to be listed this year was already on investors' radar.

Nonetheless, she was also neutral on the sector.

“Having said that, we will not see a selldown and a steep decline in REIT prices as the sector remains a good dividend play backed by asset value. Besides that, interest rates in the region are considered low,” she said.

The Affin analyst said she maintained an “overweight” for the sector this quarter but might tweak her computation following the financial results REIT players would announce in the coming weeks.

She said yields from REITs had been compressed to historical low and might look to downgrade the sector.

Maybank Investment has, in the report, downgraded Pavilion REIT, KLCC Property Holdings Bhd, Sunway REIT and IGB REIT to “hold” while it had a “buy” call on CapitaMalls Malaysia Trust.

The analyst from RHB Research said the brokerage's top pick was Pavilion REIT due to its location, asset quality and long-term growth prospects.

“When the mass rapid transit is ready, the Golden Triangle (in Kuala Lumpur) will be more vibrant and its growth will be even more attractive,” she said.

 

Source: http://biz.thestar.com.my/news/story.asp?file=/2013/4/23/business/13010703&sec=business

IGBREIT Q4 '12

Today, IGBREIT releases Q4 report for financial year end 2012.  For this quarter, EPS is 4.32 cents.  At the same time, they announced 100% income distribution of 1.83 cents.  

Based on distribution 1.83 cents, annualized distribution is 6.48 cents [1.83 x 365 / (11+31+30+31)] (Higher than forecast in IPO Prospectus 6.38 cents).  Thus, forecast DY is about 4.8% (based on today's price RM 1.35).

Below shows the table of important date regarding to the income distribution.

KASSETS last day trade tomorrow

 

As refer to the above table, tomorrow is the last day trade for KASSETS before ex-distribution on 3rd of October 2012 (Wednesday) in order to entitle the IGBREIT shares + cash distribution later on.  These tranfered IGBREIT shares will be ready on 19th October 2012.  So, another batch of IGBREIT will be on board from 19th of October 2012 onwards.

IGBREIT debut on Main Market of Bursa Malaysia

IPO Price: RM 1.25
Open Price: RM 1.37
High Price: RM 1.41
Low Price: RM 1.35
Close Price: RM 1.39

IGBREIT, the largest pure-retail REIT, is successfully debut on Friday.  This counter is the most active-traded counter with total volume traded of 236 million shares.  For those success get from IPO, sell your holding on 1st day should be able to earn from the range of 8% to 12.8%.

Based on the various research houses' fair price or target price as shown in table below, i.e. the range from RM 1.37 to RM 1.45, I believe there still have more room for this counter to growth or to reach their target price or even higher.

No	Research Companies	Fair Price (RM)
1	Affin Bank	1.43
2	Alliance Bank	1.37
3	ECM Libra	1.37
4	MIDF Research	1.43
5	OSK Research	1.37
6	RHB Bank	1.43
7	TA Securities	1.45

News on IGBREIT:
IGB REIT opens 10pc higher on debut
首日上市开红盘‧怡保花园產托溢价14仙
http://www.theedgemalaysia.com/business-news/221021-igb-reit-gains-112-over-ipo-price-on-maiden-day.html

IGB REIT expects to have Southkey mall by 2015
Southkey to be injected into IGB REIT

媲美双威產托‧怡保花园產託零售龙头

（吉隆坡19日讯）怡保花园產托（IGBREIT，5227，產业投资信托组）旗下有两大 资產：谷中城和园中城，共值46亿令吉，这是马股迄今最大型的纯零售產托，超越柏威年產业信托（PAVREIT，5212，主板產业投资信托组）和双威產 业信托（SUNREIT，5176，主板產业投资信托组），但以总资產规模而言，它和双威產托不相上下。

该產托的两大商场，净出租面积共250万平方尺，购物者流量共3千470万人，相比吉隆坡城中 城为4千万人、柏威年3千100万人和双威金字塔购物中心为3千400万人，该区未来人口將受Eco City所带动，Eco City共有逾2千住宅和470万平方尺的办公楼面积。

怡保花园產托未来2至3年的成长將主要来自园中城，因后者为高档购物广场，以及由於仅於 2007年启用，平均租金仍偏低。园中城佔该產托可出租面积的32%，但截至2012年5月的平均租金仅为每方尺8令吉74仙，谷中城则为10令吉75 仙。园中城约54%出租面积的租约將於明年到期，预料租金將成长10%至15%，谷中城未来数年届满的租约则佔20%至36%。

在財务表现方面，怡保花园產托的负债率仅26%，略低於產托领域的平均水平，其负债主要包含12亿令吉的固定利率期限贷款，为期5+2年，首5年利率为4.4%和之后为每年5%。（文：兴业研究）

新股介绍：
英文简称：IGBREIT
股票代號：5227
组別：產业投资信托组
上市日期：2012年9月21日（週五）
股票面值：1令吉
新股售价：1令吉25仙
合理价：1令吉43仙
公开发售：6亿7千万单位

http://biz.sinchew-i.com/node/65317

News on IGB REIT IPO ballot result

怡保花园產託 获超额认购21.75倍

（吉隆坡7日讯）怡保花园產托（IGBREIT）首发股，供公眾认购的3400万股获得热烈反应，超额认购21.75倍。

　Symphony发表文告指出，怡保花园產托接获公眾3万2781份申请，欲认购7亿7357万3300股，即是获得超额认购21.75倍。

　根据招股书，怡保花园產托將发行6亿7000万股，其中有4亿6900万股將以机构价献购予国內外机构投资者及指定投资者，同样获得超认购。

21日上市

　至于另有1亿6700万股供合格董事或员工、赞助商董事及员工等认购的部份，则接获987份申请，欲认购4407万9000股，约等于94%认购率。

　另外，赞助商部分则接获2339份申请，欲认购9840万2444股，相等于82%认购率。

　文告指出，该公司將于本月20日通知成功认购的投资者，並于21日上市马股主要板。

怡保花园產托公眾发售股分配
类別（股）	接获申请（份）	成功申请（份）	成功几率（%）	成功认购申请者	获配售额
					股	（%）
100-200	104	2	1.92	100	200	0.01
300-900	153	1	0.65	300	300	0.01
1000-1900	1690	60	3.55	1000	60000	0.10
2000-2900	1765	79	4.48	2000	158000	0.27
3000-3900	1469	80	5.45	3000	240000	0.41
4000-5900	2969	180	6.06	4000	720000	1.23
6000-10900	6021	430	7.14	6000	2580000	4.41
11000-19900	5807	466	8.02	10000	4660000	7.96
20000-49900	8350	759	9.09	20000	15180000	25.93
50000-99900	2714	275	10.13	50000	13750000	23.50
100000-199900	1450	161	11.10	70000	11270000	19.26
200000-499900	153	22	14.38	90000	1980000	3.38
500000-999900	83	30	36.14	120000	3600000	6.15
1000000或以上	53	27	50.94	160000	4320000	7.38
总数	32781	2572			58518500	100.00

IGB REIT IPO Prospectus Review

 

Part 1

 

Part 2

Delay of IGB REIT IPO

Board : Main Market
Offer Price : RM1.25 (indicative issue price)

A new revised indicative timetable for the Offering is set out below:
Date                Event
27-08-2012    Opening date and time for the Retail Offering
28-08-2012    Opening of the Institutional Offering
04-09-2012    Closing date and time for the Retail Offering
06-09-2012    Closing of the Institutional Offering
06-09-2012    Price Determination Date
07-09-2012    Balloting of applications for Offer Units pursuant to the Retail Offering for the Malaysian Public portion
20-09-2012    Transfer of Offer Units to successful applicants
21-09-2012    Listing of IGB REIT on the Main Market

ASTRO和怡保花园產託今年內上市

（吉隆坡9日讯）大马首次公开售股（IPO）源源不绝，ASTRO和怡保花园（IGB，1597，主板產业组）旗下零售產业投资信託（IGB Reit）相继在下半年登场，有望巩固大马的IPO市场。

隨市场传，ASTRO將筹措高达约47亿6千万令吉的资金，成为大马今年第三大IPO后，IGB Reit亦在初步招股书阶段，估计上市可筹措约8亿3千800万令吉，成为大马今年第四大IPO。

根据证券监督委员会的资料，ASTRO虽未在初步招股书中公佈筹资规模，惟披露58%资金將用作资本开销，29.3%偿还银行贷款、8.6%为营运资本和上市费用。

至於IGB Reit则初步表示公开发售多达6亿7千万单位，筹资规模料达8亿3千800万令吉，庞大资產值令该公司有望成为大马最大的Reit。

IGB Reit的散户指標价为1令吉25仙，机构价稍后决定，若按该指標价计，上市后的市值或达42亿5千万令吉，领先柏威年產托（PAVREIT，5212，主板產业投资信托组）。（星洲日报／財经）

Source from http://biz.sinchew-i.com/node/63790

IGB REIT IPO

Board : Main Market
Offer Price : RM1.25 (indicative issue price)

An indicative timetable for the Offering is set out below:
Date                Event
23-08-2012    Opening date and time for the Retail Offering
23-08-2012    Opening date and time for the Retail Offering
28-08-2012    Opening of the Institutional Offering
30-08-2012    Closing date and time for the Retail Offering
04-09-2012    Closing of the Institutional Offering
04-09-2012    Price Determination Date
05-09-2012    Balloting of applications for Offer Units pursuant to the Retail Offering for the Malaysian Public portion
18-09-2012    Transfer of Offer Units to successful applicants
19-09-2012    Listing of IGB REIT on the Main Market

Distribution Policy: Distribution Income on a half-yearly basis
Type: Retail
Assets:
1. Mid Vally Megamall (Completed on 1999)
2. The Garden Mall (Completed on 2007)

Total market captital: RM 4,250 million
Total units upon listing: 3.4 billion
KrisAssets: 2730 million units (80.3%)
Total new units offer: 670 million units (19.7%)

From the total new offering:
Institutional: 469 million units (13.8%)
Reserved: 167 million units (4.9%)
Retail Public: 34 million units (1%)