Ascendas Reit

[greengiraffe]

5% perps with no capital upside anyone?

My preference is simple - I entrust my $ with Towkay's FCL getting 5.67% historical dividend yield with asset light potential... bearing in mind that FCL yet to REIT their industrial real estate portfolio down under and perhaps our haigong mate may be interested to pay even lower yield for a bigger portfolio of quality real estates...

GG
Odd Lots Vested

Kindly be informed the following new sgd perpetual issue : -
 
Ascendas Real Estate Investment Trust (“A-REIT”)
 
Initial Yield guidance at cost
5.00% AREA
Expected Issue Size
SGD Benchmark
Denomination
SGD 250k x 250k
Timing
Books Open
Comments
To follow
Risk Rating
4
LV
60%
 
ISSUER                                  :                              HSBC Institutional Trust Services (Singapore) Limited,
in its capacity as trustee of Ascendas Real Estate Investment Trust (“A-REIT”)
ISSUE                                   :                                SGD Fixed Rate Subordinated Perpetual Securities
ISSUER RATINGS                          :  A3/Stable by Moody’s
EXPECTED ISSUE RATINGS                  :        Baa2 by Moody’s
CURRENCY                                :         SGD
ISSUE SIZE                              :                            Benchmark
TENOR                                   :                              Perpetual NC5
INITIAL PRICE GUIDANCE                  :          5.00%area
DISTRIBUTION PAYMENTS                   :       Non-cumulative and optional distribution. Unpaid distributions do not accrue interest. Indefinite dividend stopper applies if                                                     scheduled distributions are not made  in full
RATE OF DISTRIBUTION                    :           Fixed until year 5 (“First Call Date”), reset every 5 years  thereafter to a new fixed rate at prevailing 5-year Singapore                                                     Swap-Offer Rate plus [●] bps
DISTRIBUTION PAYMENT DATES              :  Semi-annually in arrear on [●] and [●] of each year, commencing on [●]
SETTLEMENT DATE                         :                [●]
FIRST RESET DATE                        :  [●]
RANKING                                 :                          Unsecured and subordinated    obligations of the Issuer and senior only to the Issuer’s ordinary units,                                           
pari passu with Parity Obligations
REDEMPTION AT THE OPTION OF THE ISSUER  :  Optional redemption at par on First Call Date and every 5 years  thereafter. Redemption at par for                                              
tax, ratings event, accounting, minimal outstanding amount, regulatory event reasons
FORMAT                                  :                           Regulation S, and Section 274 and/or  Section 275, Chapter 289 of the SFA of Singapore
FORM AND DENOMINATION                   :  Registered, SGD250K
GOVERNING LAW                           :               Singapore Law
LISTING                                 :                              SGX-ST
CLEARING                                :                          CDP
JOINT LEAD MANAGERS & BOOKRUNNERS       :  CITI (B&D), ANZ, CS, DBS, HSBC, OCBC
USE OF PROCEEDS                         :                 A-REIT intends to utilize the net  proceeds to partially fund the acquisition of a portfolio of  logistics properties in Australia
TIMING                                  :                             As early as today’s business
NETROADSHOW                             :                 http://www.netroadshow.com
                                        :                       AREIT2015
 
Comps:
                                                                                Size                        YTM/YTC
MLTSP 5 3/8 09/19/49 (Baa3/-/-)               SGD350MM        3.870% 09/19/17
AREIT 2.95 08/03/20 (A3/-/-)                       SGD100MM        3.062%
ARTSP 4.68 06/30/49 Unrated                     SGD250MM        4.707% 06/30/20
 
Overview:
 
A-REIT is a Singapore-domiciled real estate investment trust, established to invest in real
estate, real estate related assets and other permissible investments under the Property
Funds Appendix. A-REIT has been declared an authorised unit trust scheme under the
Trustees Act, Chapter 337 of Singapore.
A-REIT is constituted by the A-REIT Trust Deed. The A-REIT Trust Deed is regulated by the
SFA and the Property Funds Appendix.
Currently, A-REIT is the largest industrial and business space REIT in Singapore, owning a
diverse portfolio of properties in Singapore and China. This includes:
• Business and science park properties;
• Integrated development, amenities and retail properties (IDAR);
• High-specifications industrial properties;
• Light industrial properties/flatted factories; and
• Logistics and distribution centres.
For further details of the A-REIT portfolio of properties, please see the section “5. Portfolio
statistics and details”.
A-REIT hosts a customer base of around 1,420 international and local companies spanning
a wide range of industries and activities.
A-REIT is one of the 30 constituents of the FTSE Straits Times Index, a capitalisationweighted
stock market index that is regarded as the benchmark index for the Singapore stock
market. A-REIT is also included in several major indices such as the Morgan Stanley Capital
International Inc (MSCI Index), the European Public Real Estate Association/National
Association of Real Estate Investment Trusts (EPRA/NAREIT) and Global Property
Research (GPR) Asia 250.
As at 30 June 2015, A-REIT maintains an issuer’s rating and a senior unsecured rating of A3,
both of which were assigned by Moody’s in 2013 [...]