Boustead

Boustead: CIMB initiates at Overweight with an SOTP-based TP of $1.94. Says it is positive on all four divisions of the group. In particular, the group’s plan to launch an industrial Reit will provide it a convenient vehicale to unlock its hidden value and recycle value. Meanwhile high demand for its energy-related engineering services is another positive catalyst. The division has secured $140m worth of contracts since the start of FYMar14, trumping the $111m that it secured for the whole of FY13. Its order book backlog currently stands at $171m, close to its all time high.