Singapore shares will likely end the final day of the year on a quiet note, with liquidity remaining sapped as investors stay by the sidelines on the dearth of catalysts in the domestic market.
Regional bourses slipped in Seoul (-0.3%) and Sydneya (-0.1%). Japanese markets are closed today for New Year's Eve holiday.
From a chart perspective, the STI remains bounded within the tight trading range between immediate support at 2,860 (20-dma) and resistance at 2,920 (50-dma).
Stocks to watch
*Economy: IMF warns global economic growth will be disappointing in 2016 and outlook for medium term has also deteriorated. The prospects of rising interest rates in US and economic slowdown in China both contributed to uncertainty and higher risk of economic vulnerability worldwide. In addition, growth in global trade has slowed considerably and decline in raw material prices is posing problems for economies, while financial sector in many countries still has weaknesses and financial risks are rising in emerging markets.
*Property. National Development Minister Lawrence Wong notes that the industry is healthy and has stabilised, and is on track for a soft landing. But any loosening of cooling measures may still be a little premature. HDB would launch 18,000 new flats (+20%) in 2016 to accommodate higher demand following new policies announced this year.
*Olam. 60% JV sold long term lease rights for a 20,030-ha plot of land in Gabon, along with a sale and lease-back of plantation and milling assets, for US$130m as part of its asset light strategy.
*Noble. Opined that the recently announced divestment of Noble Agri will improve its credit rating metrics and challenged Moody's recent cut of its credit rating to junk status.
*Keppel Corp: Acquired remaining 30% interest in Keppel Bay Tower for $180.9m in share swap arrangement with Mapletree Investments. In turn, Keppel sold its 39% stake in Harbourfront Towers 1 and 2 for $225.7m. Both assets were priced at book value.
*Far East Orchard: Acquired a 1,616sqm land plot in Brighton, UK, for £5.4m to develop into a student accommodation by end-2018.
*Hiap Hoe: Forming a 51/49 JV with A. & J. Brady to develop the group's property at 374-380 Lonsdale Street in Melbourne, Australia, into two mixed-used towers comprising residential, commercial, office and hotel.
*Spackman: Proposed share swap of its 45.8% stake in Spackman Media Group Pte Ltd in exchange for 27.4% in Spackman Media Group Ltd, as part of its restructuring exercise in relation to its proposed spinoff of the media investment holding company on Hong Kong Stock Exchange.
*Serrano: Awarded new interior fit-out contracts worth $11.6m. Separately, group guided for a net loss for FY15, due to cost overruns and write-offs.
*SHS Holdings: Signed LOI with Bangladesh Power Development Board to construct a solar power plant based on US$0.17/kWh tariff for a period of 20 years, with a total development cost of US$70-80m. The plant is scheduled to be completed in 18 months.
*ISOTeam: Acquiring TMG Projects, a firm engaged in engineering works and contracting, for $4m (1.9x P/B).
*Yanlord Land: Sold six properties to relatives of its Chairman and CEO for about Rmb70m.
*Abterra: Extended the long-stop date of its proposed acquisition of a commercial property in Beijing, China, to an undisclosed date.
*Healthway Medical/IHC: IHC extended the long-stop date of its offer to acquire Healthway Medical via a scheme of arrangement to Jul ‘16.
*Rex Int’l: Completed drilling of exploration well 7130/4-1 in Barents Sea licence PL708 with discovery of oil & gas but of uncommercial quantities.
*China Merchants Pacific: Secured a five-year term loan facility of US$350m to refinance a bridging facility for the Guixing, Guiyang, and Yangping acquisitions.