ARA Asset Management

[Boon]

ARA Asia Dragon Fund selling assets
Posted on 28/08/2013
Vasantha Ganesan

ARA Asia Dragon Fund, a fund affiliated with Hong Kong’s richest man Li Ka-shing’s Cheung Kong Group, plans to divest all five of its assets in Malaysia in the second quarter of 2014 but will acquire new assets along the way.

The five shopping centres – 1 Mont Kiara, Aeon Bandaraya Melaka, Ipoh Parade, Klang Parade and Citta Mall – are expected to be ripe for sale once the ongoing renovation and refurbishment exercise, costing in excess of RM200 mil, is complete in the first quarter of 2014.

http://www.theantdaily.com/news/business...ing-assets

(vested)

I thought ADF 1 was supposed to be in the divestment phase and return capital back to its investors in 2014 (along with our performance fees) ? Why are they planning to acquire more properties then ?

(Odd Lots Vested)

Hi Nick,

You are absolutely right, ADF I is in divestment phase - the new acquisitions are for the other fund - ADF II.

If they could achieve a return of 20% (IRR) and 1.92 x equity multiple on divestments, the performance fees could be quite attractive IMO.

(Vested)
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ARA: Malaysia stable market for investment
Posted date: August 27, 2013

"The ARA group and its private funds are always on the lookout for new assets. Its assets under management stood at S$23.5 billion as at June 30, 2013, which include assets in Malaysia.

Still, Kong said ARA, which owns Klang Parade, Ipoh Parade, 1 Mont Kiara, Aeon Bandaraya Melaka and Citta Mall under its flagship private real estate fund ARA Asia Dragon Fund (ADF), will not be buying new assets here to be injected into ADF but instead for its other funds.

ARA’s other fund is the ADF II, which has so far invested in some residential properties in Kuala Lumpur, but Kong said it will also look at retail opportunities here."

http://www.asean-investor.com/ara-malays...nvestment/
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The breakout kings - by PERE

ARA Asset Management
Headquarters: Singapore
Founded: 2002
Chief executive officer: John Lim
Strategy: Pan-Asia offices, retail and residential assets, with a particular focus on China

At first glance, Singapore-based ARA Asset Management seems an odd choice as an emerging manager, particularly given its founding in 2002 and big plays in the Asian REIT world, where it has most of its assets under management. However, the firm’s private real estate funds division, led by Ng Beng Tiong, started much later and only
recently finished raising capital for its second opportunity fund, ARA Asia Dragon Fund II, on $441 million. That followed a $1.13 billion vehicle in 2008, which included commitments from the California Public Employees’ Retirement System (CalPERS), the largest US pension plan.

In an announcement earlier this year, following repeated commitments, CalPERS senior investment officer Ted Eliopoulos heaped praise on the 983-staff outfit for its strong discipline and capabilities. This time around, the pension giant committed $50 million to ARA’s second fund and $480 million to a longer-term separate account. That followed an admission by the Teacher Retirement System of Texas that the firm was included on its ‘premier’ list of managers with which to partner.
Given its strong performance in Fund I (according to PERE sources, the vehicle was generating 20 percent IRRs and a 1.92x equity multiple), it is little wonder that ambitions are running high within the corridors of 6 Temasek Boulevard. According to the firm’s third quarter results presentation, ARA plans to explore the launch of RMBdenominated funds and intends to roll out more “specialist funds for strategic investors” in the near future.
As of the end of September, ARA managed S$6 billion (€3.8 billion; $4.9 billion) on behalf of its private funds. Versus the S$15.2 billion managed by its REIT platform, that seems relatively small. However, given that the platform is barely half a decade old, it is nderstandable why this firm is on our list of emerging managers to watch.

http://www.wheelockst.com/wp-content/upl...2.4.12.pdf

[pianist]

the Chinese news - cant imagine the first year of their Nanjing property occupancy rate was only 10%. are they really going to sell off the Dalian Roosevelt commercial property?

[gutman]

the Chinese news - cant imagine the first year of their Nanjing property occupancy rate was only 10%. are they really going to sell off the Dalian Roosevelt commercial property?

10% occupancy for the first year, 60% for 2nd year and 90% for 3rd year. It does look like empty building just filled up quickly in a couple of years.

I guess as long as they can get anything more than 20%, they will be happy to sell. Maybe sell into a new Reit.

[gutman]

More for those who can read Chinese.

ARA 的“3P”成功秘诀

http://www.fortunetimes.sg/a/shangjing/z...93733.html

[pianist]

just read it..inspiring. I am thinkin CMA will easily globble ara..however noted he said 李嘉诚博士和长江实业集团 as one of the p. CMA may have to stand aside in china.

most impt is his sharing for the young

[Boon]

ARA Asset eyes launching Asia Dragon Fund 3 in 2014

Target AUM size pegged at US$1b.

According to DBS, ARA Asset Management intends to start marketing ADF3 at the end of 2013 and plans to close somewhere end of 2014/1st quarter 2015.

Here's more:

The target AUM size is expected to be US$1bn and we have assumed contribution from 2015 onwards. We have assumed in our forecasts that ARA will be able to grow its private-fund AUM by to c.S$25.5bn or another US$2bn by the end of 2014.

- See more at: http://sbr.com.sg/markets-investing/more...yrW5q.dpuf

(Vested)

[Contrarian]

Trading Halted.

[Nick]

APN Property diversifies investors base with $16.1m capital raising

Ben Wilmot
The Australian
October 28, 2013 10:32AM

PROPERTY fund manager APN Property Group has today launched a fully underwritten $16.1 million equity raising.

The raising, at 25c per share, comprises an $8m conditional placement to new institutions and an $8.1 m unconditional one-for-five pro-rata non-renounceable entitlement offer.

It was fully underwritten by Macquarie Capital, with proceeds to mainly be used to fund the acquisition of stapled securities in APN’s new Industria REIT, which will float shortly with a $385m portfolio. APN plans to subscribe for 5 per cent, or $12.5m, of Industria securities when it lists.

APN executive chairman Chris Aylward said that the fund manager’s equity raising has been structured to ensure existing investors were able to participate while also adding a number of high-quality institutional investors to broaden the register.

Mr Aylward’s Holus Nominees and senior APN executives Howard Brenchley and Clive Appleton plan to take up their pro-rata entitlements under the entitlement offer.

But Singapore-listed ARA Real Estate, which has a 13.9 per cent stake in APN, is unlikely to take up its entitlement.
- See more at: http://www.theaustralian.com.au/business...whH60.dpuf

[Contrarian]

Straits Trading Also Halted. Maybe a collaboration to launch new property fund with ST Trading?

[gutman]

Straits Trading Also Halted. Maybe a collaboration to launch new property fund with ST Trading?

You are right!

ARA and Straits Trading in strategic alliance.