Keppel Telecommunications & Transportation

> If REIT manager/sponsor dont own >30%, will be kicked out if shareholders not happy. Then no more capital recycling.

Frasers Centrepoint (FCL) - maximum own only 22% of the REITs :-)

(27-11-2014, 09:40 AM)opmi Wrote:

(27-11-2014, 09:34 AM)Contrarian Wrote: If the REIT is $500M, they are only paying $25M to have a vested interest 5%.

And they cash out the data centres with a bumper sale.

Many REIT managers take up some stake to convince the cornerstone investors. If I am a REIT manager, and I can get away with it, I wont put $1 into the REIT :-)

If REIT manager/sponsor dont own >30%, will be kicked out if shareholders not happy. Then no more capital recycling.

ARA owns 0.54% stake in Suntec REIT. I don't believe there is any sponsors holding a substantial stake either.

^^ coz cashed out to ST.

CAPL/KPLD/FNN all own substantial stakes in their REITs/ATMs.


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Anyone has any guess on the significant sell-off last few days?

REIT supposed to be big kicker...

(09-12-2014, 03:16 PM)Contrarian Wrote: Anyone has any guess on the significant sell-off last few days?

REIT supposed to be big kicker...

Funds are switching out of kep T&T to buy the reit.

(09-12-2014, 11:30 PM)mscheng13 Wrote:

(09-12-2014, 03:16 PM)Contrarian Wrote: Anyone has any guess on the significant sell-off last few days?

REIT supposed to be big kicker...

Funds are switching out of kep T&T to buy the reit.

For it's DC reit, 45% of it's income comes from 2 data centers located in Singapore. These 2 data centers sit on land leasehold tenures of about 7 and 11 years remaining with option for 30 years extension if terms are not breached.

When the time comes (and it's not too far off), additional capital raising will be needed to extend the lease tenure and should significantly affect the yield. Institutional investors seem not bothered at all with this, subscribing the placement 24.4 times.

(09-12-2014, 11:41 PM)swakoo Wrote:

(09-12-2014, 11:30 PM)mscheng13 Wrote:

(09-12-2014, 03:16 PM)Contrarian Wrote: Anyone has any guess on the significant sell-off last few days?

REIT supposed to be big kicker...

Funds are switching out of kep T&T to buy the reit.

For it's DC reit, 45% of it's income comes from 2 data centers located in Singapore. These 2 data centers sit on land leasehold tenures of about 7 and 11 years remaining with option for 30 years extension if terms are not breached.

When the time comes (and it's not too far off), additional capital raising will be needed to extend the lease tenure and should significantly affect the yield. Institutional investors seem not bothered at all with this, subscribing the placement 24.4 times.

When u are fun mgr, not Buffet, you will be constantly under pressure for performance and hence DC REIT is a new concept that will help in such performance - 7 to 11 years is such a long time as many that would have made enough would have retired to make their own $

In total, Keppel DC REIT raised $512.9 million, making it the largest REIT IPO on the SGX-ST for the year-to-date.

https://sg.finance.yahoo.com/news/keppel...00147.html

> In total, Keppel DC REIT raised $512.9 million, making it the largest REIT IPO on the SGX-ST for the year-to-date.

> For it's DC reit, 45% of it's income comes from 2 data centers located in Singapore. These 2 data centers sit on land leasehold tenures of about 7 and 11 years remaining with option for 30 years extension if terms are not breached.

Was reading the EGM details and the IPO prospectus. It says sell 3 properties, the other 5 data centres come from Securus Data Fund.

Which data centres is Keppel T & T still owning after the REIT went IPO, does any guru here know? Or all divested to reit now, earnings only from the 30% ownership of the REIT.

(18-12-2014, 10:33 AM)Contrarian Wrote: > In total, Keppel DC REIT raised $512.9 million, making it the largest REIT IPO on the SGX-ST for the year-to-date.

> For it's DC reit, 45% of it's income comes from 2 data centers located in Singapore. These 2 data centers sit on land leasehold tenures of about 7 and 11 years remaining with option for 30 years extension if terms are not breached.

Was reading the EGM details and the IPO prospectus. It says sell 3 properties, the other 5 data centres come from Securus Data Fund.

Which data centres is Keppel T & T still owning after the REIT went IPO, does any guru here know? Or all divested to reit now, earnings only from the 30% ownership of the REIT.

I may not be a guru, but I can still answer your question. They still own a datacentre in Singapore, one in Amsterdam( recently acquired) and one in Brisbane, yet to be built. All 3 earmarked to be injected into Kep DC Reit.