- OUE Downtown - fair value S$1,477m
- US Bank Tower - fair value US$530m
- Marina Mandarin (30% stake) - fair value S$560m
- OUE Twin Peaks - book value S$768.2m ...
I really enjoyed this email from a reader:
Hi AK,
I'm a long-time fan of your blog (around 5 years, I think!). I especially liked the back-of-the-envelope calculations you used to do when valuing stocks.
I read your post on OUE as an asset play a few years back but only got around to evaluating it myself last week over the long weekend.
In OUE's latest financial report for 2Q 2015, it's NAV/share is reported to be $4.31. At the current price of $1.60, that's a pretty crazy 63% discount! But it immediately raises the question of whether reported net asset values can be trusted.
So I decided to try and value the properties... Fortunately, OUE only has a few properties that haven't been divested to their REITs:
