Frasers Property (formerly: Frasers Cpt (FCL))

[AlphaQuant]

Going forward, the Group will look to selectively acquire sites to replenish its landbank while focusing on delivering
its pipeline in Singapore as well as its core overseas markets of Australia and China. FCL will also seek
opportunities to unlock value in its portfolio via asset enhancement or repositioning efforts, as well as possible
injection of stabilised assets into our REITs.


sounds like Changi City Point going to FCT soon.

[felixleong]

Q1 result shows NAV Of 2.15

http://infopub.sgx.com/FileOpen/FCL-1Qtr...eID=274218

that means a Price to book of only 0.65~ looks cheap for sure

[opmi]

Q1 result shows NAV Of 2.15

http://infopub.sgx.com/FileOpen/FCL-1Qtr...eID=274218

that means a Price to book of only 0.65~ looks cheap for sure

HK blue chip developers trading at <0.5 Book.

[desmondxyz]

Q1 result shows NAV Of 2.15

http://infopub.sgx.com/FileOpen/FCL-1Qtr...eID=274218

that means a Price to book of only 0.65~ looks cheap for sure

HK blue chip developers trading at <0.5 Book.

From CIMB report, SG avg is 0.76 Book, HK avg is 0.61.... Current FCL price is very attractive with room of margin.....

[AlphaQuant]

From CIMB report, SG avg is 0.76 Book, HK avg is 0.61.... Current FCL price is very attractive with room of margin.....

The attractiveness of FCL, IMHO, is not just that it is trading discount to BV. The attractiveness is the incentive for the controlling to monetise and to return cash upwards.

The catalyst to unlocking value going fwd will be:
1) injection of assets into REITs
2) gearing up to deliver higher ROEs
3) further streamlining operations

HK developers might be cheaper from a multiple of BV point of view, but it can remain depressed for as long as the controlling wants it to - no harm leaving these to the next generations. The Thais are not in this game because they love the Frasers name - they love the potential to unlock the cash and pocket it.

[arriyana]

FCL could be depressed because of the majority shareholder being Chaoren, holding at 76% which means he can pass a special resolution alone if he choose to. That is quite a substantial risk for any minority shareholder. Do take note of that before investing too heavily in FCL.

[valuebuddies]

FCL: NAV 2.15 EPS 0.1057x4 PB 0.66 PE 3.3
CapitaLand: NAV 3.74 EPS 0.032x4 PB 0.77 PE 22.6
KepLand: NAV 4.52 EPS 0.572 PB 0.71 PE 5.6

From the figures extracted from the latest results, it seems that FCL is much undervalued versus the other 2. Am I missing anything else or do I computed the figures wrongly, especially high PE on CapLand?

Vested in FCL, nothing in KepLand and CapLand

[opmi]

From CIMB report, SG avg is 0.76 Book, HK avg is 0.61.... Current FCL price is very attractive with room of margin.....

The attractiveness of FCL, IMHO, is not just that it is trading discount to BV. The attractiveness is the incentive for the controlling to monetise and to return cash upwards.

The catalyst to unlocking value going fwd will be:
1) injection of assets into REITs
2) gearing up to deliver higher ROEs
3) further streamlining operations

HK developers might be cheaper from a multiple of BV point of view, but it can remain depressed for as long as the controlling wants it to - no harm leaving these to the next generations. The Thais are not in this game because they love the Frasers name - they love the potential to unlock the cash and pocket it.

True. TCC/ThaiBev O$P$.

From Apple Daily.

本報比較六間主要地產股昨日及去年同期的股價與NAV折讓，發現幅度明顯擴大。以花旗報告預測NAV計，九倉折讓率由去年36%增至昨日52%，屬於同業中的高位。恒隆折讓率相對低，達34%，然而較去年同期擴大24個百分點。其他四隻地產股的折讓率均介乎43%至48%間（見表）。恒生香港地產指數過去一年下跌18.8%，同期恒指跌幅只有7.9%。

[valuebuddies]

FCL could be depressed because of the majority shareholder being Chaoren, holding at 76% which means he can pass a special resolution alone if he choose to. That is quite a substantial risk for any minority shareholder. Do take note of that before investing too heavily in FCL.

Hi Arriyana, you got the point, but can you elaborate a little more as to what circumstances that minority shareholders would be beaten hard? I see strong interest from controlling shareholder as a high level of comfort and security. But as to the set back, perhaps he could decide on unreasonable high directors remunerations, what other things that he could do to benefit himself but not the minority?

[CityFarmer]

FCL could be depressed because of the majority shareholder being Chaoren, holding at 76% which means he can pass a special resolution alone if he choose to. That is quite a substantial risk for any minority shareholder. Do take note of that before investing too heavily in FCL.

Hi Arriyana, you got the point, but can you elaborate a little more as to what circumstances that minority shareholders would be beaten hard? I see strong interest from controlling shareholder as a high level of comfort and security. But as to the set back, perhaps he could decide on unreasonable high directors remunerations, what other things that he could do to benefit himself but not the minority?

One of the possibilities, is IPT, which solely benefit him, rather than the minority. I am not saying it is likely. It is a potential risk, even it is low IMO.