SG Market (04 Apr 13)

SG Market: S’pore shares could face some weakness with festering tensions on the Korean peninsula, the upcoming M’sian elections and key central bank meetings weighing on investor sentiment. Resistance for the STI is seen at 3320 with support at 3300 psychological level, Stocks to watch out for: *Lian Beng: Bags 2 contracts amounting to $201m to build 2 light industrial developments for Oxley Holdings, taking order book to a record $1.085b. Both projects will commence in Apr and take 24 months to complete. *Logistics Holdings: Secures 2 HDB upgrading contracts worth $50.9m. Work starts this month, with completion within 18 months. The deal lifts order book to $329m. *Yoma: Entered into 40/60 JV with Bouygues Construction Group to jointly build 1,043 apartments in Thanlyin Star City in Myanmar, which is 70% beneficially owned by Yoma. Construction is targeted to begin by end of this month and take 33 months t complete. SGX: Reported Mar statistics with securities daily average trading value +20% y/y but -11% m/n to $1.6b; total market turnover at $31.5b, +9% y/y but flat m/m. Overall turnover velocity 53% vs 62% in Feb. Derivatives daily average volume +34% y/y but -8% m/m to 473,028 contracts. The weaker m/m performances were attributed to wearing off of "Capricorn effect". *PEC: Sold its Tuas View factory cum office property for $16m and purchased from vendor a Benoi Lane property, which will expand its existing capacity by 65% to 19,800 tpa and enable the group to take on larger projects and maintenance/ turnaround jobs as well as provide accommodation for its workers. *Sunlight: Plans to sell 130m new shares @ $0.038 to raise $4.72m net proceeds. New shares represent 33.3% of enlarged share cap. UOBKH and Canaccord Genuity are the placement agents. *ISDN: Plans to sell 23.7m new shares @ 0.45 to raise $10.4m net proceeds for working capital and growing new businesses. UOBKH is the placement agent. ISDN earlier placed out 36m shares @ $0.24 on 14 Mar.