Highlights

SGX Stocks and Warrants

Author: kimeng   |   Latest post: Mon, 19 Aug 2019, 10:59 AM

 

Singapore Press Holdings: 3 More UK Assets

Author:   |    Publish date:


SPH announced yesterday evening that it has acquired a portfolio of three purpose-built student accommodation (PBSA) assets in the UK for a cash consideration of ~GBP 133.7m. The portfolio will have a total capacity of 1,243 beds across Southampton, Sheffield and Leeds, with occupancy rates in excess of 90%.

We note that the portfolio comes with a rental guarantee that covers the 2018/2019 and 2019/2020 academic years. We believe that this asset should come at a ~6% NPI yield, and could be funded with a LTV ratio of ~55-65% at a low 2% cost of debt handle. This acquisition is not surprising, given that management has signaled its intention to bulk up its presence in the UK PBSA scene for a while now.

All considered, SPH’s PBSA portfolio will now have a total capacity of over 5,000 beds across 220 assets in 10 cities. We maintain our HOLD rating and FV estimate of S$2.55 for now.

Source: OCBC Research - 17 Apr 2019

Share this
Labels: SPH

Related Stocks

Chart Stock Name Last Change Volume 
SPH 2.11 +0.03 (1.44%) 7,054 

  Be the first to like this.
 


 

142  135  176  649 

ActiveGainersLosers
Top 10 Active Counters
 NameLastChange 
 LionGold 0.0010.00 
 YZJ Shipbldg SGD 0.97-0.04 
 Rex Intl 0.076-0.002 
 ThaiBev 0.89+0.005 
 TEE Intl 0.072-0.001 
 Genting Sing 0.8950.00 
 SingTel 3.22+0.03 
 ESR-REIT 0.51-0.01 
 Ascott Reit 1.30+0.02 
 Golden Agri-Res 0.285-0.005 
Partners & Brokers