Lippo Malls REIT (LMIR)

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#91
if got advance distribution you think the placement price will still be priced the same at 0.405 to 0.41???

obviously not.. its more likely to be placed at 0.395 to 0.40

and today the stock it would drop even more maybe even to 0.40 instead of just 0.415

anyway I lazy to argue with you la, in the end of the day being a shareholder of lippo mall sucks. Better to sell now and take a small loss then to continue holding and slowly being sucked dry by the lousy management

(22-11-2013, 12:56 PM)sentosaubin Wrote: Let me give you another example

lets say every month is 0.3 cent distribution before private placement.
with no private placement, we should expect a 0.9c dividend for Oct-Dec. Let's say that private placement happen on 1-Dec for the sake of simplicity and diluted distribution per month becomes 0.25c.

Advance Distribution case
Existing unitholder Oct-Dec dividend = 0.3c (Oct)+ 0.3c (Nov) + 0.25c(Dec) = 0.85c
New unitholder Dec Dividend only = 0.25c for the risk they only owned from 1-Dec

For Lippo cases:
Existing unitholder Oct-Dec distribution = 0.25c (Oct)+ 0.25c (Nov) + 0.25c(Dec) = 0.75c (a reduction of 0.10c)
New unitholder Oct-Dec distribution = = 0.3c (Oct)+ 0.3c (Nov) + 0.25c(Dec) = 0.75c (an increase of 0.50c)

Are you saying that an increase of 0.50c is priced in the private placement (ie: higher price)? The answer is no, private placement is done at 40.5c (5% discount) compared to market price average of 43c

And, new unitholder cannot get 5c distribution as a deal of private placement... as the new unit is ranked pari passu..


(22-11-2013, 12:43 PM)ForeverAlone Wrote: sentosaubin

I give you an extreme example
imagine if the new private investors are given 5 cents distribution instead, way more than what the existing shareholders are getting.
are they eating away your distribution?

the answer is No
Because their placement cost will be priced much higher!

you are not using logic but instead your emotions to think~

At the end of the day, the new private investors are NOT eating into your distribution

Its just that your stake in those assets are dilution by the new placement shares.
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#92
Whether it is 0.405-0.41 or 0.395-0.40 is a conjecture from your part. It is a matter of timing, sentiment, and asset quality. It doesn't have anything to do with whether the new unitholder enjoy a "back-dated" distribution.

It's like IPO giving you range a 1.00 - 1.10.. Why is it finally priced in 1.00 instead of 1.10?

Again, how is that extra 1c have to do with existing unitholder is unclear. What's right is to declare advance distribution (like all other REIT), whether they want to price it in 40.5c or 39.5c does not matter.

placement history this year:
- AscendasREIT, March2013, 3.5% discount
- SabanaREIT, Sep2013, 9.6% discount
- Lippo, Nov2013, 5% discount
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#93
Another interesting point of this private placement:

Issuance fee is 5% ($5 million)
Compared to
- 2% for Sabana ($0.8 million)
- 1.5% for AscendasREIT ($5.4 million).

Why is Lippo paying so much fee to Standard Chartered?
Do note that this fee is shared among all unitholder (old and new).. so existing unitholder got screwed 3 times ...
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#94
LMIR placement is for TONG JINQUAN of Shanghai Summit Pte Ltd.

The same person that bought 200M of Viva Industrial Trust

http://infopub.sgx.com/FileOpen/FORM3_Ne...eID=266374

There is a write-up from Nextinsight about him
http://www.nextinsight.net/index.php/sto...industrial
life goes in cycles, predictable yet uncontrollable; just like the markets, but markets give you a second chance
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#95
(28-08-2013, 02:20 PM)BestPrice Wrote: From 58 cents high down to 39.5 cents today, -31.9%

Now trading at 40 cents.
Looks like going to drop to new low soon after recent placement.
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#96
Seems like TONG JINQUAN managed to squeeze Lippo dry by screwing existing unitholder

(02-12-2013, 10:14 PM)Greenrookie Wrote: LMIR placement is for TONG JINQUAN of Shanghai Summit Pte Ltd.

The same person that bought 200M of Viva Industrial Trust

http://infopub.sgx.com/FileOpen/FORM3_Ne...eID=266374

There is a write-up from Nextinsight about him
http://www.nextinsight.net/index.php/sto...industrial
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#97
High chance today will go below 40 cents and hit new low.
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#98
(05-12-2013, 08:53 AM)BestPrice Wrote: High chance today will go below 40 cents and hit new low.

Closed at new low 39 cents.
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#99
Chinaman Chinese and Indo Chinese make good combination.
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(05-12-2013, 05:07 PM)valueinvestor Wrote: Chinaman Chinese and Indo Chinese make good combination.

What do you mean "good combination"? Huh
My Dividend Investing Blog
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