Institutions were net sellers of Singapore stocks over the five trading sessions spanning Sep 20 to 26, with S$54 million of net institutional outflow – reducing total net inflows from the 20 trading sessions spanning Aug 30 (which included MSCI Index rebalancing) to Sep 26, to S$1.165 billion.
Leading the net institutional outflow over the five sessions to Sep 26 were Singtel, Yangzijiang Shipbuilding, CapitaLand Investment, Singapore Exchange, Mapletree Logistics Trust, Capitaland Ascendas Reit, City Developments, Jardine Cycle & Carriage, Frasers Logistics & Commercial Trust and Mapletree Industrial Trust. Thus, telecommunications and real estate investment trust (Reit) sectors led the net institutional outflows.
Leading the net institutional inflow over the five sessions were DBS, Sembcorp Industries, Capitaland Integrated Commercial Trust, UOB, Keppel, Seatrium, Suntec Reit, ComfortDelGro Corporation, Singapore Airlines and OUE Reit. Thus, financial services and utilities led the net institutional inflows.
Over the five sessions, 16 primary-listed companies conducted buybacks with a total consideration of S$18.9 million, double the amount for the preceding week.
Digital Core Reit Management acquired 250,200 units of Digital Core Reit between Sep 23 and 24. Seatrium bought back 1.11 million shares, taking the cumulative percentage of issued shares (excluding treasury shares) acquired on the current mandate to 0.4 per cent.
Sats led the buyback consideration tally over the five sessions, acquiring 2.6 million shares at an average price of S$3.62 a share. Sats noted that repurchased shares held in treasury can be transferred for share schemes without diluting existing shares.
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During the five trading sessions, more than 140 director interests and substantial shareholdings were filed for 40 primary-listed stocks. Directors or CEOs filed 17 acquisitions and one disposal, while substantial shareholders filed 11 acquisitions and 11 disposals.
The 140 filings were larger than the usual weekly quota due to director participations in performance share plans. This included Sats president and CEO Kerry Mok Tee Heong, who was granted unvested shares under the Sats restricted and performance share plans.
Raffles Medical Group
Between Sep 24 and 25, Raffles Medical Group executive chairman Dr Loo Choon Yong acquired 2.15 million shares at S$0.89 a share. This increased his total interest from 55.16 per cent to 55.27 per cent. Since late February, Dr Loo has been gradually increasing his total interest in the stock from 53.02 per cent.
The group highlighted in July that it will continue to expand in Asia as it opens its second medical centre in Hakata, Fukuoka, offering a range of medical services. Despite economic challenges, the group also remains focused on exploring new business opportunities and improving operational leverage.
First Reit
On Sep 23, First Reit Management independent director Martin Lechner sold 2,796,900 units of First Reit at an average price of S$0.275 a unit. This halved his direct interest in First Reit from 0.28 per cent to 0.14 per cent. Lechner was first appointed to the board of First Reit Management in January 2018.
Lechner had previously acquired five million units in a married deal on Feb 25, 2021, at S$0.20 a unit, and 796,900 units at S$0.21 a unit on Sep 18, 2023. The units acquired in February 2021 paid S$0.0893 per unit in distributions, while the 796,900 units acquired in September 2023 paid S$0.0244 per unit in distributions.
Since 2021, the manager has maintained that First Reit has grown in stability, expanded its tenant mix and increased its geographical presence with restructured master lease agreements for its Indonesian hospital.
As at Dec 31, 2023, the portfolio of First Reit included 32 properties across Asia, valued at S$1.14 billion, with assets in Indonesia, Singapore and Japan operated by Siloam International Hospitals and other established third-party operators.
For its H1 FY2024 (ended Jun 30), First Reit reported that rental and other income decreased by 3.7 per cent from the year-ago period to S$52 million. However, in local currency terms, it increased by 4.4 per cent for properties in Indonesia and 2 per cent for nursing homes in Singapore, while remaining stable for nursing homes in Japan.
Property operating expenses rose by S$100,000 to S$1.7 million, resulting in a 4.1 per cent year-on-year (yoy) decline in net property and other income to S$50.3 million. Finance costs increased slightly by S$100,000 to S$11.3 million due to interest rates and currency risk management, leading to a 2.1 per cent yoy decrease in the distributable amount to S$25 million.
First Reit also maintains a healthy financial position with a gearing ratio of 39.5 per cent. The interest coverage ratio stands at four times, or 3.7 times when including distributions to perpetual securities holders. Additionally, 86.6 per cent of its debt is either on fixed rates or hedged, with an all-in cost of debt at 5 per cent.
The manager maintains that the overall ageing population in Asia is driving long-term demand for elderly-friendly infrastructure and quality healthcare services, positioning First Reit’s healthcare portfolio to benefit from this trend. First Reit aims to have developed markets comprise more than 50 per cent of its portfolio by FY2027, supported by its sponsors, OUE and OUE Healthcare.
Centurion Corporation
On Sep 24, Centurion Corporation executive director and chief operating officer (COO) Kelvin Teo acquired S$500,000 fixed-rate notes due 2026 with a consideration of S$520,774. Teo now holds a principal amount of S$1.5 million in Centurion debentures.
Teo has been the COO of the group’s accommodation business since August 2011 and an executive director since May 2018. He is responsible for the day-to-day operations and expansion of the accommodation business, and assists the CEO in growth and strategic planning.
ABR Holdings
Between Sep 20 and 23, ABR Holdings managing director Ang Yee Lim acquired 209,000 shares at an average price of S$0.415 a share. This increased his direct interest in the home-grown restaurant operator from 52.34 per cent to 52.44 per cent. This year, Ang has gradually increased his interest from 52.12 per cent at the end of 2023.
Ang has served as managing director since July 2004, and led the group to a 13 per cent revenue increase from H1 FY2023 to S$64 million in H1 FY2024, driven by new outlets and improved margins, despite challenging market conditions.
ABR operates more than 25 restaurants, with Swensen’s becoming a symbol of family-friendly dining. Over four decades, the group has expanded to offer diverse cuisines through brands such as Tip Top, Season’s and Chilli Padi. The group’s mission is to create memorable dining experiences that unite friends and families.
Noel Gifts International
On Sep 24, Noel Gifts International managing director Alfred Wong acquired 128,800 shares at an average price of S$0.36 a share. With a consideration of S$46,368, this increased his total interest in the hampers, flowers and gifts company from 46.88 per cent to 47 per cent.
This followed his acquisition of 163,500 shares at S$0.359 a share on Sep 16, and of 302,800 shares at S$0.356 a share between Sep 4 and 5.
Wong, the founder of Noel Gifts, has been its managing director since its inception.
Ho Bee Land
On Sep 23, Ng Noi Hinoy, the spouse of Ho Bee Land executive chairman Chua Thian Poh, acquired 22,200 shares for a consideration of S$41,514. At S$1.87 a share, this marginally increased Chua’s deemed interest in Ho Bee Land, which stands at 75.59 per cent. This followed Ng’s acquisition of 47,700 shares at S$1.85 a share between Sep 12 and 13.
Goodland Group
Between Sep 19 and 24, Goodland Group managing director and CEO Dr Alvin Tan’s total interest increased from 80.22 per cent to 80.32 per cent. Dr Tan acquired 189,000 shares at S$0.106 per share on Sep 19. His sibling, Tan Bee Bee, acquired 100,400 shares at S$0.102 per share on Sep 24.
Dr Tan oversees the overall management, performance and corporate strategy formulation for the group. With more than 20 years of experience in the construction and property development sectors, he co-founded Goodland Development in January 1993, initially focusing on building and civil engineering projects for both private and public sectors.
Alongside co-founder Ben Tan, he expanded the company’s operations to include property development in 1994. The group holds a diverse portfolio of investment properties and land banks in Singapore, as well as in Malaysia (Ipoh and Penang), and Cambodia (Siem Reap).
The writer is the market strategist at Singapore Exchange (SGX). To read SGX’s market research reports, visit sgx.com/research.
