Keppel Land/Capitaland: Vietnam devalued its currency by 2.1% y’day in a bid to control its trade deficit, which tripled to US$6.7bn in 1H10. The latest devaluation is the 3rd since late last year after a 3.4% adjustment in Feb 10 and a 5.4% reduction in Nov 09. Companies with significant exposure to Vietnam include Keppel Land (~$390m or 10% of assets, 6% of net profit, 5m sf landbank spanning 8 property projects with potential 22k units for sale),
CapitaLand (~$400m or 1.4% of total assets, 4 JV projects comprising 4k units), Koda (thinly traded furniture maker with prodn facilities) & Ezra (fabrication yard).
KepLand/CapLand: During the previous devaluation of the dong in Feb 10, KepLand fell 10% and CapLand declined 7% in over a week.
Subscribe to:
Post Comments (Atom)
No comments:
Post a Comment