OUE

OUE: Announced its latest hotel acquisition and development plan, which will significantly boost its presence in SG's burgeoning hospitality landscape, a sector which most analysts agree will continue to see strong growth. Grp will buy 100% of LC Airport Hotel, which owns the 320-room Crowne Plaza Changi Airport Hotel, for $250m, in addition to an adjacent plot of land for $43m…..

Note of a proposal to develop further 200 rooms for $37m on adjacent plot and that acquisition potentially increases grp’s SG room count by 31.98%. The vendors are LC Dev and Runway 38, each owning 50% stake in LC Airport. Technically, Apr8's intraday high of $3.24 may provide some technical resistance. UOB Kay Hian maintains Buy with $4.30 TP, CIMB Maintains Buy with $4.16 TP, CS maintains O/P with $4.20 TP and Morgan Stanley O/W with $3.45 TP.