Fraser & Neave (F & N)

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Clarification before the actual listing. Part of IR function is to manage expectation...Big Grin

Clarifications on Media Reports

The Company refers to the reports in the Business Times today, "Frasers sets sights on overseas expansion" and in the Straits Times today, Frasers Centrepoint to boost presence in Thailand.

The reports identify a potential new core market, Thailand, and go on to note that Frasers Centrepoint Limited (FCL) and the Thai Charoen Corporation group of companies and entities (the TCC Group or TCC) are jointly exploring the possibility of building two or three mixed-development projects in Bangkok.

As highlighted in the introductory document dated 28 October 2013 (the Introductory Document), while Singapore will remain important as FCLs home market, it intends to strengthen its presence in China and Australia which are presently its two other core markets, and to increase its exposure in, among others, Thailand, where it envisages tapping the domestic market access and insight of the TCC Group to identify and develop suitable projects in various property segments.

The Company wishes to inform that discussions are at a preliminary stage and while there is an intention to expand FCL's overseas reach, including to Thailand, there has been no agreement so far on any specific joint project with TCC in this regard.

The Straits Times article also states that FCL has been asked by TCC to manage its portfolio of about 15 hotels outside Thailand and that part of that may be injected into the hospitality REIT. As stated in the Introductory Document, FCL has been in discussions with the TCC Group to acquire and/or manage 3,700 keys/rooms of the hospitality assets owned by the TCC Group outside Thailand over the next three years, and exploring the setting up of a hospitality REIT. While FCL is in discussion with TCC Group to include some of TCCs assets in the proposed hospitality REIT, these discussions are ongoing and no decision has been made on the final portfolio to be injected into the REIT or whether the transaction will take place.

The Straits Times article further states that FCL is currently reviewing its partnership with Krungthep Land Public Company Limited (KLand) with Mr Lim quoted as saying that FCL is working towards "an amicable solution to the current situation" in order to focus on its tie-up with TCC. The Company wishes to clarify that there has been no decision in this regard and any decision on its partnership with KLand will be made after careful consideration and discussion with its joint venture partner.

The appropriate announcements will be made in due course in the event of any material development in relation to the above.

In the meantime, investors are advised to exercise caution in dealing with the shares of Fraser and Neave, Limited and when listed, the shares of FCL.


By Order of the Board


Anthony Cheong Fook Seng
Company Secretary
2 January 2014

Ref: http://infopub.sgx.com/Apps?A=COW_Corpor...sVgQ_QeSYI
“夏则资皮,冬则资纱,旱则资船,水则资车” - 范蠡
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(02-01-2014, 08:45 PM)CityFarmer Wrote: The DIS entitlement is closed, and the final number derived.

Total share entitled is 1,444,906,286. The cash equivalent per Share for the dividend in specie of the Company is S$2.0146873
(rounded to seven decimal places), being the amount of S$2,911,034,349 divided by 1,444,906,286.

Ref: http://infopub.sgx.com/FileOpen/FNL-BCD-...eID=269520

hmm based on this announcment the cash equivalent per share of FCL is 2.01 / 2 = $1.005 ? That is without factoring the value of FCL's business...looking forward to 9th Jan...
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(02-01-2014, 11:52 PM)toiletsiao Wrote:
(02-01-2014, 08:45 PM)CityFarmer Wrote: The DIS entitlement is closed, and the final number derived.

Total share entitled is 1,444,906,286. The cash equivalent per Share for the dividend in specie of the Company is S$2.0146873
(rounded to seven decimal places), being the amount of S$2,911,034,349 divided by 1,444,906,286.

Ref: http://infopub.sgx.com/FileOpen/FNL-BCD-...eID=269520

hmm based on this announcment the cash equivalent per share of FCL is 2.01 / 2 = $1.005 ? That is without factoring the value of FCL's business...looking forward to 9th Jan...

Since it is the cash equivalent per share (i.e. FCL) is S$2.0146873, you should NOT divide it by 2. This value if I'm not wrong is also the NAV of the FCL share. Previously, it was $2.04 but due to increase in the number of shares, it is now $2.01.

http://infopub.sgx.com/FileOpen/Investor...eID=254081
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(03-01-2014, 06:00 AM)ngcheeki Wrote:
(02-01-2014, 11:52 PM)toiletsiao Wrote:
(02-01-2014, 08:45 PM)CityFarmer Wrote: The DIS entitlement is closed, and the final number derived.

Total share entitled is 1,444,906,286. The cash equivalent per Share for the dividend in specie of the Company is S$2.0146873
(rounded to seven decimal places), being the amount of S$2,911,034,349 divided by 1,444,906,286.

Ref: http://infopub.sgx.com/FileOpen/FNL-BCD-...eID=269520

hmm based on this announcment the cash equivalent per share of FCL is 2.01 / 2 = $1.005 ? That is without factoring the value of FCL's business...looking forward to 9th Jan...

Since it is the cash equivalent per share (i.e. FCL) is S$2.0146873, you should NOT divide it by 2. This value if I'm not wrong is also the NAV of the FCL share. Previously, it was $2.04 but due to increase in the number of shares, it is now $2.01.

http://infopub.sgx.com/FileOpen/Investor...eID=254081

the reason why i divide it by 2 is because of how FNN calculated this $2.01...According to the announcement the total cash value of the DIS (FCL) is S$2,911,034,349 ...but it was divided by 1,444,906,286 which is FNN's float...it means that $2.01 is per FNN share onli... however FCL's float is ard 2.88bil (1.44 bil x2) ..... hence 2.9bil/(FCL float).. we will get a figure of $1.005 as the cash value of FCL?? 2.01 will be correct if FNN is paying out 1 for 1 instead..
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Ngcheeki and Toiletsiao

Both of you are right except that I suspect that F&N has made an error in the announcement. Total equity DIS should be closer to $5.9 billion rather than $2.9 billion.....
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(03-01-2014, 08:36 AM)HitandRun Wrote: Ngcheeki and Toiletsiao

Both of you are right except that I suspect that F&N has made an error in the announcement. Total equity DIS should be closer to $5.9 billion rather than $2.9 billion.....

I read the F&N DIS announcement doc, and found the following statement. So both of you are right, depends on which value you are referring to.

$1.005 is the face value of the FCL share, while $2.04 is the book value (NAV) of the FCL share.

"To effect the FCL Distribution as a dividend in
specie, the Company will appropriate an amount of approximately $2,911 million out
of the retained profits of the Company8 to meet the dividend to be declared based on
the carrying value of the FCL Shares (after the Corporate Restructuring) in the
accounts of the Company. In the consolidated accounts of the F&N Group, the net
assets of FCL will be approximately $5,891 million after the Corporate Restructuring.
After the FCL Distribution, a corresponding reduction of $5,891 million will be made
from the retained profits of the F&N Group on a consolidated basis.9
While the FCL Shares in the Company’s accounts are stated at cost, the value of the
FCL Shares in the consolidated accounts of the F&N Group is higher as such value is
determined on the basis of the net asset value of FCL which includes profits from the
operations of the FCL Group, in compliance with the requirements of the accounting
standards for the preparation of the consolidated accounts of the F&N Group"
“夏则资皮,冬则资纱,旱则资船,水则资车” - 范蠡
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Wah.... looks like Big Brother went out of his way to avoid tax. Does he have to pay tax on the dividend upon receipt or only upon repatriation back to Thailand?

Or he has other reasons?
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(03-01-2014, 10:07 PM)HitandRun Wrote: Wah.... looks like Big Brother went out of his way to avoid tax. Does he have to pay tax on the dividend upon receipt or only upon repatriation back to Thailand?

Or he has other reasons?

May be to pay up the debt on the LBO, which is in S$ and from local banks.
“夏则资皮,冬则资纱,旱则资船,水则资车” - 范蠡
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tmr will be the official listing day of FCL ... good luck all
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(08-01-2014, 02:36 PM)toiletsiao Wrote: tmr will be the official listing day of FCL ... good luck all

It will be interesting to know Mr. Market valuation on FCL. Wish all fellow shareholders the best tomorrow...Big Grin

(vested)
“夏则资皮,冬则资纱,旱则资船,水则资车” - 范蠡
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