SG Market (26 Jul 17)

POSTIVE NEWS
*Frasers Centrepoint
- North Point Shopping Centre is scheduled to complete the AEI by Sep '17, and is on track to achieve 90% occupancy when it opens in 4Q17.
- It will be renamed as North Wing, and be integrated into Northpoint City, a 1.33m sf integrated development.
- Development of the remaining retail space South Wing at Northpoint City is scheduled to be ready by 4Q17.
- 920-unit North Park Residences is 87% sold to date, and is expected to be ready for occupation in 4Q18.
- Community club and bus interchange and Northpoint City scheduled to be operational by 2018 and 2019.

*Vibrant Group
- 80% owned Fervent Industrial Development Suzhou achieved 92% occupancy for six blocks of factories at its Phase 1 Fervent High Tech Industrial Park.
- Fervent is in advance discussion with a potential tenant to lease the remaining units out of the total 58,024sqm factory space.
- Majority of committed leases are from MNCs with tenor of 5 to 10 years.
- Fervent also secured a 10-year lease contract to design and build a customised BTS factory with lease area of 13,122sqm on an adjacent 50-year leasehold land with 76,533sqm, which it acquired earlier this year.

*MTQ
- Acquiring In-Line Group, which is headquartered in UK, and offers design,engineering, assembly and testing services for flow control valves for upstream O&G industry.
- Total consideration is up to £3m, implying a P/B of 10.3x.
- The deal is expected to increase the scale and scope of the group's core oilfield operations.

*SP Corp
- Divesting certain assets, stocks, receivables, business contracts and operating leases of its tyre distribution unit for $2.2m, or 1.57x P/B.
- The purchaser GTI Holdings is an associate co. of Michelle Liem and William Liem. Michelle Liem has substantial deemed interest in the group through her stake in group's major shareholder Tuan Sing.
- The disposal came after the tyre distribution unit incurred losses for the last three years.

*Chew's
- Disclosed that the controlling shareholder has been approached by third parties on a possible transaction.

NEGATIVE NEWS
*Japfa
- To record a substantial loss in 2Q17 of US$3-4m (1Q17: US$2.1m profit, 2Q16: US$44.6m profit) due to sharply lower swine ASPs in Vietnam which has since fallen below operating costs.
- However, core net profit excluding FX is expected to remain positive (1Q17: US$7.3m, 2Q16: US$51.9m).
- Results slated to be released after market on 27 Jul.

*CNMC
- Expects significantly lower net profit for 2Q17, due to drop in revenue from lower ore grade.
- Results slated to be released on or before 14 Aug.

*UnUsUaL
- Cancelled the Justin Bieber Purpose World Tour concert in Singapore.
- The group will need to process refund for tickets purchased.

NEUTRAL NEWS
*STE
- Set up a US$150m venture capital (VC) unit to invest in promising technology start-ups and early stage companies.
- Areas of interest for the VC include robotics, autonomous tech, data analytics and cyber security.
- Additionally, STE will set up an Open Innovation Lab in Singapore which will offer a collaborative platform, supported by a dedicated applied engineering team and advanced equipment.

*SHS
- Formed a 30:60:10 JV with Yokomori Mfg and Marubeni-Itochu Steel to produce and sell steel staircases in Singapore.