Category: FCOT

Buy @ $0.79. Average down my last buy. REITs and Trusts seems weak today even though STI is -7 @ 3035. Does the problems at Japan translates to possible interest rate rise?? Seller CP '84' – UBS.

 

Time

Price

Trade size

Type

15:43:48	0.795	15,000	Buy Up
15:33:57	0.795	120,000	Buy Up
15:32:27	0.790	150,000	Sell Down
15:30:00	0.790	1,000	Sell Down
14:42:36	0.792	335,000	X
14:40:21	0.790	30,000	Sell Down
13:59:01	0.790	20,000	Buy Up

 

Buy @ $0.81. Yield @ 6.852% vs Gearing @ 39.8% (Reduce to 38% after their recent Japan asset sale) is not that attractive. But, I'm betting that F&N as the REIT Manager will be more shareholder-friendly.  😀

Buy @ $0.17. Decided to buy more to round up my holdings so that I won't end up with odd lots when they do the 5-for-1 consolidation. Results were out last evening and on first look, the DPU = 0.25ct for Q1 (Dec10) looks bad as it dragged down the annualised yield (compared to 2H – Sep10). But, if we look at the preceding quarters, the DPU for odd quarters are usually lower than those for even quarters. Comparing on a y-o-y basis, it actually went up from 0.24ct last year.

I was also previously planning to sell down my holdings but some recent events made me change my mind. One is the sale of a Japan asset (where Borrowings > Asset Value) for less than $1. This will result in a small gain and likely better earnings overall (this Japan asset was operating at a loss). This will also lower the Gearing to 38% (from 39.8%), but it's still dangerously high (chances of a need for Equity Fund Raising is high). The other was the announcement that the Trust manager will no longer be paid Acquisition and Disposal fees. This is positive as it aligns their interest closer to that of the shareholders.

So, although the yield is not fantastic, I'm hopeful that FCOT is slowly cleaning up their Balance Sheet (still have a few more assets in Japan and Australia to get rid) and becoming more pro-shareholder. 😀

Sell @ $0.155. Results not up to my expectation. DPU = 0.2ct vs 1.06/4=0.265ct (Proforma Rights). Was expecting it to be better as A$ had strengthened against S$ by aro’ 20%. Sell my cheaper ones and keep the rest first. Next DPU will be 6mths later, will monitor and buy if it dips. Sold to ’31’ – DMG 😀

Buy @ $0.15. Yield @ 7.067%, my original tgt, should have waited!. Need to average down my recent buy! Seller ’17’ – CIMB sold big block of 731 lots! 😀

15:32:44 0.155 250,000 Buy Up
15:31:04 0.150 731,000 Sell Down
15:18:24 0.155 20,000 Buy Up

Buy @ $0.165. Decided to buy back what I sold (and more) previously as it doesn’t look like it’ll hit my tgt of $0.15 or lower. Yield @ 6.424% is rather low compared to other REITs and Gearing @ 38.5% is still on the high side.

With the stronger A$, hi chance the next DPU (Sep09) will likely be higher than the proforma figures. With the recent rights issue and CPPU (kind of like Convertible Preference Shares) issued to F&N in exchange for Alexandra Point, FCOT is now a lot more attractive to me for longer term hold.

But, mkt looks weak and it may drop further for me to buy some more. Seller ’17’ – CIMB and ’20’ – Phillip. 😀

17:05:01 0.165 631,000 Sell Down (Don’t know how come mine got 2 diff sellers!)
16:59:48 0.165 6,000 Sell Down
16:59:33 0.165 7,000 Sell Down
16:59:22 0.165 50,000 Sell Down
16:59:13 0.165 306,000 Sell Down

Subscribe @ $0.095. Applied and got some excess rights (will help to bring down my average cost), looks like the nos. alloted is dependent on your original holdings. Alloted 5 lots to TY and 12 lots to me. 😀

Sell @ $0.18. Yield (Proforma – Rights) @ 5.889%, almost on par with CMT! Am betting that it’ll drop to $0.15 or lower (TERP was $0.131 for 8% yield) when the new rights shares are listed. Will use creative accounting so that I won’t recognise a big loss based on my buy price (will offset the profit from the rights shares @ $0.095 against the cost of the original shares)! Buyer ’31’ – DMG. 😀