Shares & Derivatives
Nibbled Frasers Centrepoint Trust
By Live Rich Life Free  •  July 2, 2020
Frasers Centrepoint Trust (FCT) SGX: J69U announced the acquisition of an additional 12.07% stake in PGIM Real Estate AsiaRetail Fund (ARF) on 1 Jul 2020 for S$197.2 million. ARF owns Century Square,Tiong Bahru Plaza, Hougang Mall, White Sands Mall, Tampines Mall and Central Plaza office block in Singapore and a mall in Malaysia. PGIM Real Estate is actually the property investment division of Prudential Financial. FCT's stakes in this Fund will increase to 36.89% after the deal is completed by the end of Jul 2020. Its sponsor, Frasers Property will own the remaining 63.11% in ARF. This deal is fully funded by debt and possibly at its current low borrowing rate of 2.44%. This acquisition is slightly yield accretive and reinforces FCT's strategy of investment in suburban malls in Singapore. However, gearing will increase from 34.7% to closer to 40%. As highlighted by DBS Research, “We see this as the key catalyst for both FPL and FCT if the group is able to gain further control of the properties and convert...
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By Live Rich Life Free
The purpose of this blog is for me to share my reinventions of how life should be lived and journal my journey towards financial independence. I believe that life is a story book. Each chapter contains 10 years of our lives. I am moving on towards mid 30s in 2021. As a nobody but somebody, I am in Chapter 4 of my story book. I hope to influence my philosophy of living a rich life freely and healthily with all of you. Embrace the future and empower freedom!
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