INSTITUTIONS were net buyers of Singapore stocks over the five trading sessions spanning Sep 27 to Oct 3, with S$50 million of net institutional inflow, reversing the preceding five sessions of net outflow.
Leading the net institutional inflow over the five sessions to Oct 3 were Singapore Exchange, Mapletree Pan Asia Commercial Trust, Singapore Airlines, Mapletree Logistics Trust, Keppel, Genting Singapore, CapitaLand Investment, Wilmar International, Jardine Matheson and Sats.
Meanwhile, UOB, DBS, Yangzijiang Shipbuilding, OCBC, Thai Beverage, Singtel, Frasers Centrepoint Trust, Venture Corporation, Keppel DC Real Estate Investment Trust (Reit), and Frasers Logistics & Commercial Trust led the net institutional outflow.
The five sessions also saw 16 primary-listed companies conduct buybacks with a total consideration of S$20.2 million, similar to the consideration in the preceding week.
Sats again led the buyback consideration tally over the five sessions, acquiring 2.7 million shares at an average price of S$3.70 apiece. In the preceding five sessions, it bought 2.6 million shares at S$3.62 per share. Sats maintains that repurchased shares held in treasury can be transferred for share schemes without diluting existing shares.
Seatrium also continued at the same pace, buying back 1.09 million shares, taking the cumulative percentage of issued shares (excluding treasury shares) acquired on the current mandate from 0.4 per cent to 0.44 per cent.
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Digital Core Reit Management took a break from acquiring units of Digital Core Reit and announced it would publish a business and operational update for its Q3 FY2024 (ended Sep 30) after trading hours on Oct 23.
The five trading sessions saw more than 120 director interests and substantial shareholdings filed for close to 50 primary-listed stocks. Directors or CEOs filed 19 acquisitions and no disposals, while substantial shareholders filed nine acquisitions and five disposals.
Raffles Medical Group
On Sep 26, Raffles Medical Group executive chairman Dr Loo Choon Yong acquired 470,000 shares at an average price of S$0.889 per share. This increased his total interest from 55.27 per cent to 55.3 per cent.
Since late February, Dr Loo has been gradually increasing his total interest in the stock from 53.02 per cent, with 7.02 million shares added to his total interest over August and September.
The group remains focused on exploring new business opportunities regionally and improving on the operational leverage of its existing businesses, which includes expanding the Raffles brand of care in Japan.
Far East Orchard
On Sep 27, Far East Orchard chair and non-executive director Koh Kah Sek acquired 90,000 shares at an average price of S$1.02 apiece. This took her direct interest to 0.02 per cent. As she is directly associated with Far East Organization, which is a substantial shareholder of the company, she is also considered by the board to be non-independent.
Koh is also an executive director and the chief financial officer of Far East Organization, where she is responsible for financial affairs, including corporate finance, treasury, overseas investments, risk management and capital management, while also overseeing the corporate function of the group’s legal division.
For its H1 FY2024 (ended Jun 30), Far East Orchard reported that its revenue increased by 7 per cent from H1 FY2023 to S$97.3 million, with the purpose-built student accommodation (PBSA) business segment contributing the highest increase of S$5.5 million.
Net profit more than doubled to S$19.7 million, driven by higher contributions from the PBSA segment and joint ventures, despite higher interest expenses. As at Jun 30, 2024, the group maintained a healthy cash position of S$197.6 million, down from S$225.6 million due to its acquisition of a 49 per cent stake in Homes for Students, a PBSA operator in the UK.
With the results, Far East Orchard CEO Alan Tang highlighted the expansion of the group’s investment and asset management capabilities, noting that the acquisition of the Homes for Students stake marked a significant milestone for the business. This acquisition is set to advance the group’s “Feor 25” strategy and bolster its position in the UK PBSA sector.
Stamford Land Corporation
Between Sep 25 and Sep 30, Stamford Land Corporation executive chairman Ow Chio Kiat acquired 254,600 shares at S$0.375 per share. This increased his total interest from 46 per cent to 46.02 per cent.
Stamford Land Corporation is the largest independent owner-operator of luxury hotels in Australia, and an established real estate developer and investor. The group completed its FY2023/2024 on Mar 31. Ow noted that the company’s core underlying net profits increased 7 per cent from the previous financial year, after adjusting for non-cash fair value losses, foreign exchange differences, and a non-recurring gain from the disposal of hotel properties (net of tax and associated costs).
Ow also noted in July that the group is in a strong position with net cash of S$452 million, and is poised for opportunistic acquisitions and asset enhancement initiatives. Having fully paid down its loans, the group is also insulated from the rising interest rate environment, showcasing its prudent financial risk management.
LMS Compliance
On Sep 24, Louis May acquired 170,000 shares of LMS Compliance at an average price of S$0.356 apiece. This increased the aggregate deemed interest of executive director and CEO Dr Ooi Shu Geok, and executive director and chief development officer Chong Moi Me from 83.51 per cent to 83.7 per cent. Both Dr Ooi and Chong are deemed interested in the Catalist-listed company through shares held by Louis May and Fitcorp Value.
For its H1 FY2024 (ended Jun 30), LMS Compliance reported that its revenue increased to RM12.24 million (S$3.8 million), a 23.4 per cent increase from the figure in H1 FY2023. This growth was primarily driven by a RM1.96 million rise in sales from the group’s laboratory testing services segment, fuelled by strong demand from customers in the food, medical devices, and fertiliser industries.
This segment remains the group’s main revenue contributor, making up about 93.9 per cent of total revenue in H1 FY2024 – slightly down from 96.1 per cent in H1 FY2023 – due to higher revenue from the group’s certification services and trading business segments.
In H1 FY2024, the company’s material costs rose by 62.7 per cent to RM1.24 million. Employee benefit expenses increased by 25.6 per cent to RM4.72 million, and other expenses grew by 21.5 per cent, driven by higher purchases, outsourcing, manpower costs, and professional fees.
Despite the rise in expenses, the group’s profit before tax increased to RM4.01 million in H1 FY2024, an 8.2 per cent increase from the same period in the preceding financial year. Even with a higher effective tax rate, profit after tax grew by 3.8 per cent to RM2.74 million, compared with RM2.64 million in H1 FY2023.
Dr Ooi noted that the group will continue to focus on optimising its cost pressures, as well as nurturing and strengthening its relationships with customers, while harnessing digitalisation and technology to further streamline its work processes and improve operational efficiencies.
ABR Holdings
Between Sep 27 and Sep 30, ABR Holdings managing director Ang Yee Lim acquired 140,000 shares at an average price of S$0.417 per share. This increased his direct interest in the home-grown restaurant operator from 52.44 per cent to 52.51 per cent. This year, Ang has increased his interest from 52.12 per cent as at the end of 2023. He has served as managing director since July 2004.
Ho Bee Land
On Oct 2, Ng Noi Hinoy, the spouse of Ho Bee Land executive chairman Chua Thian Poh, acquired 12,100 shares for a consideration of S$23,601. At S$1.95 per share, this marginally increased Dr Chua’s deemed interest in Ho Bee Land, which stands at 75.59 per cent. This followed Ng’s acquisition of 47,700 shares at S$1.85 apiece between Sep 12 and Sep 13, and 22,200 shares at S$1.87 each on Sep 23.
Goodland Group
On Sep 27, Goodland Group executive director Melanie Tan acquired 124,500 shares at S$0.103 per share. This increased her direct interest from 6.11 per cent to 6.14 per cent. She also maintains a 74.21 per cent deemed interest, bringing her total interest to 80.35 per cent. This also increased the total interest of chairman Ben Tan and managing director and CEO Alvin Tan.
Melanie Tan has an accounting background and first joined the group as financial controller in 1995. She was appointed as executive director in August 2009. She oversees the group’s strategic investments, acquisitions, and finances, including the company’s initial public offering. She also manages human resources and administration, and drives service innovation within the group.
The group holds a diverse portfolio of investment properties and land banks in Singapore, as well as in Malaysia and Cambodia.
The writer is the market strategist at Singapore Exchange (SGX). To read SGX’s market research reports, visit sgx.com/research.
