\n<\/p>\n
SINGAPORE \u2013 Shares of Hongkong Land closed higher last week after the property group <\/p>\n unveiled a new $8 billion Singapore private real estate fund<\/p>\n <\/a> and said it will inject its stakes in Marina Bay Financial Centre (MBFC) Towers 1 and 2 and One Raffles Quay into the vehicle. <\/p>\n The stock closed at US$7.17 on Dec 12, up 7.34 per cent from the previous week\u2019s closing price of US$6.68.<\/p>\n The fund will focus on managing prime commercial property assets in the Republic and is expected to be the largest private real estate fund here. <\/p>\n The announcement of its launch came a day after the sale of its $1.45 billion stake in MBFC Tower 3 to Keppel Reit on Dec 11. <\/p>\n To fund the acquisition, Keppel Reit launched an underwritten non-renounceable preferential offering to raise about $886.3 million.<\/p>\n An underwritten non-renounceable preferential offering gives existing shareholders the right to buy new shares \u2013 typically at a discount \u2013 but they cannot sell or transfer this right. If shareholders choose not to subscribe, their ownership may be diluted and the underwriter will take up any unsubscribed shares.<\/p>\n Upon completion of the deal, expected on Dec 31, Keppel Reit\u2019s existing one-third interest, together with the acquired interest, will result in it holding an aggregate two-thirds interest in MBFC Tower 3.<\/p>\n Shares of Keppel Reit closed 7.69 per cent lower at 96 cents on Dec 12, from Dec 5\u2019s closing price of $1.04. <\/p>\n Shares of Sembcorp Industries closed down 1.17 per cent to $5.92 on Dec 12, from the previous week\u2019s close of $5.99. <\/p>\n The company on Dec 11 said that it will <\/p>\n fully acquire Australian power company Alinta Energy<\/p>\n <\/a> from Chow Tai Fook Enterprises for an agreed enterprise value of A$6.5 billion (S$5.6 billion), which represents the total value of the business, including its debt.<\/p>\n The estimated purchase price is approximately A$5.6 billion and will be paid in cash through Sembcorp\u2019s bridge and working capital facilities. <\/p>\n In its bourse filing, the company said that the move will bring \u201cmeaningful scale and diversification\u201d to its portfolio across renewables, energy storage and gas assets.<\/p>\n Citi Research analyst Luis Hilado in a Dec 11 note pointed out, however, that the acquisition includes Alinta\u2019s 1.2 gigawatt (GW) coal-fired power plant, which will \u201cinitially\u201d take Sembcorp\u2019s decarbonisation targets \u201cbackwards\u201d.<\/p>\n This implies that Alinta\u2019s coal assets could raise near-term emissions and lead to slow progress towards the company\u2019s existing emissions goals. <\/p>\n However, Sembcorp said the primary focus of the acquisition is gaining access to an attractive portfolio of development opportunities \u2013 comprising 10.4GW of renewables and firming systems \u2013 rather than the coal-fired power plant. <\/p>\n Mr Hilado kept his \u201cbuy\u201d call on Sembcorp Industries with a $7.84 target price, while citing potential downside risks such as execution challenges in renewable energy projects.<\/p>\n Separately, a consortium of Seatrium and energy firm GE Vernova announced on Dec 11 that it has won a contract from European grid operator TenneT to build key parts of BalWin5, a project that will bring 2.2GW of wind power from the North Sea to Germany\u2019s electricity grid. <\/p>\n The contract is the fourth project won by the consortium under a five-year agreement with TenneT announced in March 2023. <\/p>\n Analysts at CGS International reckon the contract could be worth up to $2 billion and yield gross margins in the \u201chigh single digits\u201d, noting in a Dec 12 report that it takes Seatrium\u2019s estimated order wins in 2025 to around $4 billion so far. <\/p>\n CGS International is positive on Seatrium and expects the stock to be worth $2.67 in 12 months\u2019 time on the back of further orders in 2026. <\/p>\n Seatrium shares closed 0.47 per cent higher at $2.13 on Dec 12, from Dec 5\u2019s closing price of $2.12.<\/p>\n Food and noodle maker Leong Guan jumped as much as 15.2 per cent on its Catalist debut on Dec 11. <\/p>\n The stock opened at 24.5 cents, hit an intraday high of 26.5 cents and closed at 24 cents, up 4.38 per cent from its initial public offering (IPO) price of 23 cents. <\/p>\n The shares gained a further 2.08 per cent on Dec 12 to close at 24.5 cents.<\/p>\n The group plans to use the $2.15 million in net proceeds raised from the issue of new shares to expand its export markets and product range, and improve its manufacturing facilities.<\/p>\n It also intends to pay out a minimum of 80 per cent of its 2025 financial year net profit, and at least 35 per cent of the 2026 net profit, as dividends to shareholders. <\/p>\n Toku, a Singapore-based cloud-native, AI-powered customer experience platform, on Dec 10 lodged its preliminary prospectus for a listing on the Catalist board.<\/p>\n The firm said its customer experience platform allows organisations to seamlessly orchestrate all conversations across voice, chat, e-mail and other digital channels while navigating complex regulatory, linguistic and infrastructure requirements.<\/p>\n With operations spanning 32 countries, Toku plans to use the IPO proceeds to expand its customer experience platform through increased research and development and other initiatives, which will fuel the company\u2019s global expansion.<\/p>\n The funds will also be used as a cash reserve to improve the firm\u2019s financial position for potential partnerships and acquisitions, as well as to repay loans. <\/p>\n Toku\u2019s audited financial results from 2022 to 2024 showed revenue growth: US$31.8 million (S$41 million) in 2024, US$28.9 million in 2023 and US$21.6 million in 2022. <\/p>\n However, its losses also widened over the years, increasing to US$5.3 million in 2024 from US$4 million in 2022.<\/p>\n On its outlook, the firm said current market conditions for the next 12 months are favourable for platform providers with proven capabilities in complex markets. <\/p>\n Sales momentum and a \u201csubstantial\u201d order book of US$23.4 million provide the basis for the firm\u2019s confidence in driving revenue growth that supports its progression towards profitability, Toku said.<\/p>\n