HPH Trust

HPH Trust: DB highlights that moving forward with the introduction of the new ultra-large vessels, HPH Trust appears to be well positioned to take the opportunity of growing its vessel size, due to its 100% throughput from the terminals currently being called by Asia-Europe services. Management believes HPHT would gain market share at the expense of those ports who cannot handle these mega-sized ships, the volume brought by individual mega-sized ships would be naturally larger than that of smaller ships, and these mega-sized ships will only call hub ports- more feeder services will be required to bring cargo to hub terminals, hence more transshipments will be generated as a result. DB has a BUY with TP of US$0.92 (implies upside of 16%), based on a yield around 6-7% for 2013.