Market Snapshot

Singapore stocks opened lower on Monday. STI fell 0.1%; Olam, SGX up 6%; YZJ Shipbldg fell 4%; Seatrium fell 2%.

Stocks to Watch

Olam Group: The group on Monday announced that it will sell its remaining 64.57 per cent stake in Olam Agri to Saudi Agricultural and Livestock Investment Company (Salic) over two tranches, for a total sum of US$4 billion. The consideration is a 14 per cent premium to the US$3.5 billion valuation at which Salic first acquired a 35.43 per cent stake in Olam Agri in 2022. Shares of Olam ended Friday 0.9 per cent or S$0.01 lower at S$1.13.

Raffles Medical: The medical service provider on Monday reported a 4.3 per cent rise in net profit to S$31.6 million for its second half ended Dec 31, from S$30.3 million in the previous corresponding period. This translates to an earnings per share (EPS) of S$0.017 against an EPS of S$0.0163 previously. Shares of Raffles Medical closed Friday 0.6 per cent or S$0.005 lower at S$0.825, before the results were announced.

SATS LTD.: The catering and ground handling company on Friday reported a 123.5 per cent increase in net profit to S$70.4 million for the third quarter ended Dec 31, from S$31.5 million a year earlier. Revenue rose 12.5 per cent year on year to S$1.5 billion, from S$1.4 billion. Shares of Sats closed at S$3.30 on Friday, up 0.3 per cent or S$0.01, before the results were released.

UOB: The lender announced on Friday that its Sydney branch priced its A$2 billion (S$1.7 billion) floating rate senior unsecured notes. The notes will be due on Feb 28, 2028, and have a coupon of three-month bank bill swap rate plus 0.65 per cent per annum payable quarterly in arrear. Shares of UOB closed at S$38.38 on Friday, down 0.1 per cent or S$0.05, before the announcement.

CapLand India T: The trustee-manager on Friday said it will purchase a 1.13 million-square-foot office project in Bengaluru from luxury residence developer Maia Group for 14.7 billion rupees (S$233.6 million). Net profit from the acquisition is forecast to be S$7.7 million on a stabilised basis, while distribution per unit is expected to rise to S$0.0696 from S$0.0684. Units of Clint closed flat at S$0.995 on Friday, before the announcement.

Venture: The technology company on Friday reported a 6.6 per cent year-on-year decline in net profit to S$121.4 million for the half year ended Dec 31, from S$130 million. This came as revenue over the same period fell 6.3 per cent on year to S$1.35 billion, from S$1.44 billion. EPS came in at S$0.419 for the half-year period from S$0.447 in the corresponding period a year earlier. Shares of Venture closed at S$12.94 on Friday, down 0.2 per cent or S$0.02, before the results were released.

Hong Leong Fin: The finance company on Friday reported a 10 per cent rise in net profit to S$51.5 million for the six months ended December 2024. This was driven by an expanded net interest margin at 1.6 per cent, on the growth of asset yields and a “moderated” funding cost. The company proposed a final dividend of S$0.10 per share, to be paid on May 22. Shares of Hong Leong Finance ended Friday at S$2.51, up 0.4 per cent or S$0.01, before the announcement.

SG Local News

Singapore Rolls Out Tax Rebates, $3.7 Billion Program to Boost Stock Market

Singapore announced on Friday a set of measures to rejuvenate its equities market, including a 20% tax rebate for primary listings and a S$5 billion ($3.74 billion) program that focuses on investing in domestic stocks.

The statement offers more details on measures Singapore's equities market review group announced on February 13 to revive its stock market that has come under pressure from a dearth of mega listings and softer trading liquidity.

UOB Prices 3-Year Floating Rate Bond at Tightest Range for an Asian Bank

United Overseas Bank's UOB Sydney Branch priced an A$2 billion three-year senior floating-rate bond on Feb 21 at 0.65% above the three-month Bank Bill Swap Rate (BBSW). The pricing represents the tightest spread achieved by any Asian bank for an issuance of above A$1 billion. 

Koh Chin Chin, head of group treasury, research and customer advocacy, UOB, said, "Having accessed the market for over a decade, we have witnessed the significant growth in Australian dollar primary issuances, with the size, granularity and diversity in the appetite we saw in our transaction today a true reflection of how much development there has been. We are particularly pleased to have been able to achieve the volume today while at the same time, with the support of both our domestic and international investors, a very balanced distribution."