23-12-2024, 09:28 AM
(22-12-2024, 06:02 PM)CY09 Wrote: https://links.sgx.com/FileOpen/OUE_REIT_...eID=828552
OUE REIT has divested its remaining China asset. Though one thing which stood out and was not mentioned in the circular was that the sale of the building was 20% off its 2.4 billion RMB valuation on OUE balance sheet. No doubt OUE REIT leverage will fall but the question is if the valuation of assets in the REIT's balance sheet is sound, may warrant why the REIT has been always trading at 0.5-0.6 times book value
Hi CY09,
OPMIs should mostly keep a distance from most Godfathers, more so for those who sell OPMIs a lease out of their freehold asset on Orchard Rd.
You are mostly right that market discount generally tells the future of any sort of valuation increase/decrease. One needs to be more right than wrong if we think an outlier is wrong as determined by Mr Market.
I am not a certified financial advisor and so nothing of what I say should be construed as financial advice. Please consult a certified financial advisor for advice instead.