On 19 April 2024, CapitaLand Integrated Commercial Trust (“CICT”) have announced their first quarter business update for 2024. There were no DPU updates, although we can determine that there were no significant negative impacts, given that there were no notable changes to gearing ratio and interest coverage while net property income saw an increase. This is a good sign that their portfolio continues to remain stable, and although the gearing ratio increased to unfavorable territory, CICT is less likely to face the risk of breaching covenants compared to other property profiles.

Website: General Announcement::1Q 2024 Business Updates

Photo source: https://fifthperson.com/cmt-cct-merger-pros-cons/

Background

CICT is the first and largest real estate investment trust (“REIT”) listed on Singapore Exchange Securities Trading Limited (“SGX ST”). It made its debut on SGX ST as CapitaLand Mall Trust (“CMT”) in July 2002 and was renamed CICT in November 2020 following the merger with CapitaLand Commercial