Institutions were net buyers of Singapore stocks over the five trading sessions till to Jul 11, with S$192 million of net institutional inflow, following the similar pace of S$188 million of net inflow for the preceding five sessions to Jul 4. In the first nine sessions of July, institutions reversed just over one-third of the net outflows booked in the first half of 2024.
The five sessions till Jul 11 also had 15 primary-listed companies conduct buybacks with a total consideration of S$28.3 million.
CapitaLand Investment led the buyback consideration tally, acquiring 8,312,600 shares at an average price of S$2.64 per share. This brings the percentage of shares acquired on the current mandate to 1.64 per cent of the issued shares (excluding treasury shares) as of the date of the share buyback resolution.
For the contingent of non-STI primary-listed companies that conducted buybacks over the five sessions, The Hour Glass led the consideration tally with 489,000 shares acquired at an average price of S$1.57 per share.
Leading the net institutional inflow were DBS, UOB, ARA US Hospitality Trust, Singtel, Sats, ST Engineering, OCBC, Singapore Exchange, Great Eastern Holdings and Venture Corp.
During the week, Acrophyte completed the acquisition of a 19 per cent stapled security interest in ARA US Hospitality Trust, increasing the stapled security holdings owned by the Tang Group in ARA US Hospitality Trust to 28.3 per cent. Acrophyte is a multinational conglomerate with expertise spanning the entire real estate spectrum and the hospitality sector. The company operates and invests in hospitality assets in various locations, boasting a proven track record in both operations and investments.
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Meanwhile, Singapore Airlines, Jardine Cycle & Carriage, Wilmar International, Seatrium, Mapletree Industrial Trust, Sembcorp Industries, CapitaLand Ascendas Reit, Mapletree Logistics Trust, Genting Singapore, and CapitaLand Ascott Trust led the net institutional outflow.
In the five trading sessions, 70 director interests and substantial shareholdings filed for more than 30 primary-listed stocks. Directors or CEOs filed 14 acquisitions, and no disposals, while substantial shareholders filed eight acquisitions and three disposals.
Hiap Hoe
Between Jul 3 and 4, Hiap Hoe executive chairman Teo Ho Beng acquired 500,000 shares at an average price of S$0.603 per share. With a consideration of S$301,250, this increased his total interest in the regional premium real estate group from 75.07 per cent to 75.18 per cent.
Teo has been gradually increasing his total interest from 74.86 per cent in early June. He has more than 42 years of experience in the construction and property industries, and over 27 years of experience in the leisure industry. He is responsible for the formulation of corporate strategies and policies for the group. In addition, he sits on the board of Ley Choon Group Holdings as non-executive director.
The group noted in February that it is concentrating on enhancing the rental yields and occupancy rates of its properties to bolster its steady income stream. The two newly rebranded hotels in Singapore are anticipated to positively impact the group’s financial outcomes, despite the competitive nature of the hotel industry.
The group has since completed the acquisition of the Great Eastern Motor Lodge in Western Australia in March and the sale of the Four Points by Sheraton in Melbourne Docklands in April.
Centurion Corp
On Jul 4, Centurion Corp CEO Kong Chee Min acquired 115,000 shares, at an average price of S$0.59 cents per share. This increased his direct interest in the global provider of specialised accommodation from 0.04 per cent to 0.06 per cent. His preceding acquisitions were on May 10, with 75,000 shares acquired at an average price of S$0.498 per share, and Mar 1 with 72,000 shares acquired at an average price of S$0.425 per share. The rally in the share price has seen the price-to-book ratio of the stock increase from 0.4 times at the end of 2023 to 0.6 times the previous week. The stock maintains a return-on-equity ratio of 20 per cent with its Q1FY24 (ended Mar 31) at S$41.6 million, compared to S$30.5 million in Q1FY23, as tenancies renewed at prevailing higher rental rates in Q4FY23 began to accrete higher revenue. Prior to Q1FY24, Centurion had a 26 per cent compound annual growth rate in its accommodation revenue from its FY11 to FY23.
From a geographical perspective, Singapore contributes around two-thirds of the group’s revenue. From a business segment perspective, roughly 75 per cent of its revenue comes from Purpose Built Workers Accommodation (PBWA), while the remaining 25 per cent is attributed to Purpose Built Student Accommodation (PBSA). The group expects the current growth drivers of the PBWA sector to include positive regulatory factors and a demand-supply dynamic characterised by a high global demand for migrant workers, an increasing recognition of the need for better welfare for migrant workers, and a market that is undersupplied with purpose-built, professionally managed dormitory beds.
While the Centurion’s share price has gained 46 per cent in the 2024 year to Jul 11, the average daily turnover of the stock is up 140 per cent from 2023 levels. In 2023, Centurion completed its voluntary withdrawal of its dual listing on the main board of The Stock Exchange of Hong Kong. It announced on Jul 3 that its indirect 60 per cent-owned subsidiary, Centurion-Lionrock (HK), through Centurion Overseas Investments, signed a master lease with Abercorn Investments to lease 50 residential flats in Hong Kong, with plans to convert them into worker accommodation for 550 beds. The joint venture company is also partly owned (40 per cent) by LionRock Property, an independent third party and joint venture partner.
Kong joined the group in March 1996 and was appointed to the board in March 2000. He served as a board member until May 2015. In August 2011, he became the CEO, taking charge of the group’s operations, business strategies, and long-term growth. Before his CEO role, he was the regional CEO and finance director, assisting the former group CEO in strategic development and growth of the optical disc business. In January 2022, Kong was appointed a member of the executive committee.
Zico Holdings
On Jul 4, Zico Holdings group CEO Ng Hock Heng acquired 1,791,000 shares at S$0.04 per share. With a consideration of S$77,246, this increased his direct interest in the Catalist-listed stock from 2.97 per cent to 3.41 per cent. His preceding acquisition was on Mar 12, with 1,050,198 shares acquired at S$0.04 per share. Ng has been the executive director at Zico Holdings since 2014 and was appointed as the group CEO in May 2023, as part of the company’s planned leadership transition. His key responsibilities include overseeing overall operations, managing the advisory and transaction services, the management, support services and licensing services segments, as well as developing and managing the group’s new services.
Accrelist
Between Jul 4 and 10, Accrelist executive chairman and managing director Terence Tea Yeok Kian acquired 633,600 shares at an average price of S$0.05 per share. With a consideration of S$31,708 this increased his total interest in the Catalist-listed company from 26.18 per cent to 26.38 per cent. Dr Tea has gradually increased his total interest from 23.13 per cent at the end of 2023. He is tasked with guiding the group’s expansion and strategic direction, by identifying and fostering new business opportunities. His extensive corporate experience and strategic insights are invaluable to the board, particularly in advising on corporate affairs and driving business strategy implementation.
Accrelist is vigorously exploring new ventures, with an intensified emphasis on medical aesthetics. Its wholly owned subsidiaries, operating under the Accrelist Medical Aesthetics umbrella and known as AM Aesthetics, along with AM Skincare, are at the forefront of this initiative. Accrelist also holds a majority 53.31 per cent stake in Jubilee Industries Holdings, a comprehensive provider in the electronic manufacturing services (EMS) sector, through its mechanical business unit. This unit specialises in precision plastic injection moulding and mould design and fabrication services, catering to the EMS industry’s needs.
The writer is the market strategist at Singapore Exchange (SGX). To read SGX’s market research reports, visit sgx.com/research
