2010/01/21
Axis Real Estate Investment Trust (REIT) plans to acquire another three to five properties in 2010 and raise
RM113 million in the early part of the year. Its target was expand the total assets to at least RM1 billion from
RM907.7 million as at December last year, said Axis REIT Managers Bhd Chief Executive Officer Stewart
LaBrooy.
Axis REIT Managers is the promoter of Axis REIT. LaBrooy said the potential acquisition targets included
two units of brand new logistics warehouses in Johor, a factory or warehouse in Puchong and an office
building in Cyberjaya. The acquisitions will total RM180 million.
As at Dec 31, 2009, Axis REIT had 21 properties in Malaysia.
In a media briefing on Axis REIT's financial performance for last year and its future growth prospects, he
said: "We are positive about our financial results this year despite the soft property market.
"Our strategy is to maintain occupancy rates and make new acquisitions." He said the trust also planned
another capital raising exercise in early 2010. "There is potential to place out another 61.4 million units and
raise a war chest of RM113 million for future acquisitions," he disclosed.
LaBrooy said that among other developments for this year would be on its corporate property in Petaling Jaya
called Quattro West which was formerly known as Nestle House.
"We are undergoing a complete refurbishment of the building to reposition the asset and increase revenue," he
said.
He said Quattro West would be taken up by another listed company that had committed to a 15-year lease of
50 per cent of the space commencing July.
Another property that would provide unitholders with opportunities for capital gain was the proposed
acquisition of two logistics warehouses in Seberang Perai, Penang which was expected to be completed by
March.
The Seberang Perai warehouse acquisition at RM24.25 million, he said, was at a 9.2 per cent discount to
market value and would provide unitholders with a cpaital gain of approximately RM1.78 million.
"The acquisition will increase gearing level from 34.03 per cent to 35.61 per cent," he added.
LaBrooy said 35 per cent would be the trigger point for gearing level and should it touch above this level,
Axis REIT would a undertake private placement to bring it down.
Axis REIT's unit price, he pointed out, saw an improvement at the end of 2009 as compared to end of 2008.
"It closed at RM1.93, a 72 per cent increase from the 2008 closing price," he added. -- BERNAMA
11 comments:
sold some TWRREITs at 1.16; bought IGB at 1.87
sold GENM at 2.89 for intraday. :)
Update portfolio.
REITs stocks
1. BsdREITS 73%
2. UOAREITs 62%
3. ARREITs 41.5%
4. Quillcapital 40%
5. TowerREITs 18%
Trading stock
1. IGB 15.5%
Just bought in GENM at RM2.86 again. Hope can repeat contra gain again. :)
Decided to re-enter Genting SP. Bought Genting SP at $1.19-1.20 this morning.
Sold UOAREITs at 1.31; bought more IGB at 1.86
Very good price you enter there for Genting SP.. :)
Sold GENM at RM2.89 for an intraday gain. :)
horse
Good trade for your GENM, already make 2 round intraday profit ha!
Hopefully, the decision to re-enter Genting SP at 1.19-1.20 is at right price and at right time. Nevertheless, this is initiate first step that used up about 30% capital, will keep accumulate Genting SP if still on weakness.
Update portfolio.
REITs stocks
1. BsdREITS 73%
2. ARREITs 41.5%
3. UOAREITs 40%
4. Quillcapital 40%
5. TowerREITs 18%
Trading stock
1. IGB 37.5%
Sold IGB at 1.89 and UOAREITs at 1.32
Sold more UOA at 1.32; sold also some BsdREITs at 1.37 and Qcapital at 1.05, realize more paper profit :)
bought back some IGB at 1.85, realize higher intraday gain :)
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