GLP

GLP: Daiwa reiterates its Outperform rating, but adjusts SOTP valuation down to $2.95 (from $3.12). Post capital infusion from China consortium, Daiwa lowers EPS forecasts for FY15 and FY16 by 11.9% and 19.6% and estimates it could take 2-3 years before earnings from new development covers initial EPS dilution. Nevertheless the house remains sanguine on the hard-to-quantify long term strategic benefits, such as access to low-cost land bank and sounder growth platform, which could be reaped from the China consortium deal.