Metro

Metro: With share price nearing its all-time high of $1.025, the well-known Singaporean retailer was featured in The Edge Magazine over the weekend, where the group is reported to be set to open its new 130,000 sf Metro Centrepoint (recently vacated by retailer Robinsons) in 3Q14. According to Metro, the large space vacated by Robinsons provided an attractive opportunity for Metro to move in to fill the gap left behind, as such large floor plates are typically not readily available in the land scarce Orchard Road. The Edge was however quick to highlight that the group’s recent jump in its share price performance, was largely attributable to Metro’s property assets, which are mostly income generating and worth ~$1.4b versus its retail assets which are worth just $70m. The group’s main property investment and development business is concerntated in China, where Metro has in its stable two malls in Shanghai and Beijing, two office towers in Guangzhou and Shanghai, a serviced residence in Shanghai, and a 30% stake in a mixed-used development in Nanchang City. Over in Singapore, Metro holds a 40% stake in residential project The Crest, which is expected to be launched shortly. Overall, Metro’s net asset value stood at $1.43 as at FY14, representing an attractive 0.7x P/B, coupled with an attractive dividend yield of ~6%.