SG Market (07 Jan 15)

As Wall Street extends into its 5th day of decline, S’pore shares are likely to open lower, with oil-related stocks still expected to come under pressure, after prices pushed further below the US$50 per barrel mark, with no signs of bottoming yet. From a chart perspective, technical indicators, ADX and MACD are exhibiting bearish crossover signals with the STI expected to breach the 200-dma at 3,280 to head towards next downside support at 3,215. Stocks to watch: *Keppel Corp: Secured two contracts worth a total of about $65m. The first contract was awarded by Seaways International to build an AHT vessel, while the second contract was awarded by Nakilat-Keppel Offshore & Marine (N-KOM), to provide technical services for the construction of a liftboat. *GLP: Has leased 84,000 sqm to six leading third-party logistics providers in China, of which one is a new customer relationship with a leading state-owned logistics company *QT Vascular: The pace of enrolment of patients in the group's ENDURE study for 4Q14 has exceeded its expectation. ENDURE is designed to evaluate the safety and efficacy of Chocolate® Touch, a novel drug-coated peripheral balloon that combines the acute benefits of the Chocolate® PTA Balloon Catheter with the potential long-term benefits of a paclitaxel-based coating. *UE E&C: Southern Capital Group obtained 75.9% valid acceptances on its voluntary conditional offer, and disclosed that there will be no revision for the offer price of $1.25/share. *Xpress: To issue 1.1b shares (31% enlarged share capital) at 0.7¢/share, attached with two free five-year warrants per new share (exercise price: 0.7¢ each), to Ma Wei Dong- chairman of the board of directors of Kunming LuChen Group. Subject to obtaining shareholders' approval and grant of a whitewash waiver from SIC, the $7.7m raised will be used for expansion, working capital and repay debt. *Singapore Shipping Corporation: Obtained US$16.5m term loan to finance the acquisition of a Pure Car Truck Carrier vessel, one of the two vessels currently pending delivery. Upon delivery in Jan 2015, the vessel will be chartered to a blue chip shipping major. *China New Town: Obtained financing support for up to Rmb10b from ICBC, to support large-scale urbanization projects located in China, particularly in Shanghai, Nanjing and Shenyang. In addition, ICBC will provide cross-border Rmb services to leverage off relevant free trade zone policies, and explore multiple innovative financing structures to support the Company’s mid-to-long term funding needs. *CNMC Goldmine: Produced a total of 4,681.15 ounces of gold dore bars in Dec. This is despite the continual heavy rainfall amid the North-East monsoon period. Its Sokor Gold Project is not severely affected by recent floods in Kelantan. *Cogent Logistics: Its integrated logistics hub at Tanjong Kling Road has received TOP on 30 Dec. While the 5-storey warehouse is operational, the container handling equipment is currently being installed on the rooftop container depot, with completion expected in 2Q15. *Auric Pacific: Entered into a 30:70 JV with PT Mei Sastromihardjo Konsultan Indonesia, to distribute and sell F&B products in Indonesia. *TA Corporation: Incorporated Viva Energia, a 50:25:25 entity with Than Tun Win and Myint Thein Zaw, to distribute motorcycles parts, motor oils and associated accessories in Thailand. *Sakae: Has diversified into the corporate advisory services business, with its first client being Q&M Dental.