DAILY NEWS

Daily News – 21st November 2018 (Wed)

Singapore Economy

More scope for Singapore, Jiangsu firms to collaborate
Companies from Singapore and China’s Jiangsu province will have more chances to cooperate in areas such as third-party market collaboration, trade and logistics, and financial services, under 13 Memoranda of Understanding signed on Tuesday at the 12th Singapore-Jiangsu Cooperation Council (SJCC) meeting in Singapore.
https://www.businesstimes.com.sg/government-economy/more-scope-for-singapore-jiangsu-firms-to-collaborate
https://www.straitstimes.com/business/economy/singapore-and-jiangsu-to-drive-more-opportunities-in-third-party-markets-trade-and
https://www.channelnewsasia.com/news/singapore/singapore-jiangsu-to-deepen-economic-partnership-advance-bri-10949438

Greater market access, lower tariffs for Singapore companies when CPTPP enters into force
Singapore companies can look forward to reduced tariffs and greater market access after the Comprehensive and Progressive Agreement for Trans-Pacific Partnership (CPTPP) comes into force on Dec 30 this year.
https://www.channelnewsasia.com/news/singapore/cptpp-trade-deal-singapore-companies-tariffs-market-access-10948754

Kazakhstan holds first Singapore forum to attract potential investors
Companies from Singapore and around the region will get to find out more about the many investment opportunities in Kazakhstan at an inaugural forum on Wednesday morning. The Kazakhstan-Singapore Business Forum, held at the Shangri-La Hotel, will be attended by heads of government organisations, as well as business leaders from Kazakhstan, Singapore and other countries.
https://www.businesstimes.com.sg/government-economy/kazakhstan-holds-first-singapore-forum-to-attract-potential-investors

Singapore Real Estate

Homeowners who opposed collective sale must still pay stamp duty: Lawrence Wong
In a collective sale of private homes, homeowners who opposed it will still have to pay any seller’s stamp duty that applies to them. “If the sale occurs within the holding period, the seller’s stamp duty is applied, regardless of whether an individual owner consented to or opposed the sale,” said Second Minister for Finance Lawrence Wong in Parliament on Tuesday.
https://www.businesstimes.com.sg/real-estate/homeowners-who-opposed-collective-sale-must-still-pay-stamp-duty-lawrence-wong
https://www.businesstimes.com.sg/real-estate/opposing-collective-sale-doesnt-exempt-owners-from-stamp-duty

Minbu Villa takes second stab at en bloc sale at S$145.8m, but price may go lower
Faced with the cooling en bloc market, Minbu Villa, a freehold residential development in Novena, is going up for tender at S$145.8 million again, but this reserve price could be lowered if 80 per cent of the owners agree. Its earlier collective sale bid was launched in March and closed on April 17 without a winning bid.
https://www.businesstimes.com.sg/real-estate/minbu-villa-takes-second-stab-at-en-bloc-sale-at-s1458m-but-price-may-go-lower
https://www.businesstimes.com.sg/real-estate/freehold-minbu-villa-up-for-collective-sale-again-at-s1458m-but-price-could-go-lower
https://www.straitstimes.com/business/property/freehold-minbu-villa-up-for-collective-sale-again-at-s1458m

Property developers face new anti-money laundering, terrorism financing rules
The Government has put in place new anti-money laundering and terrorism financing requirements for property developers that will require them to perform due diligence checks on their buyers and flag suspicious activity. The new rules come after Parliament passed the Developers (Anti-Money Laundering and Terrorism Financing) Bill on Tuesday (Nov 20).
https://www.channelnewsasia.com/news/singapore/parliament-developers-new-anti-money-laundering-terrorism-rules-10950130

Companies’ Brief

DBS makes new appointments to transaction banking team in bid to grow business
DBS Bank has made new appointments to its transaction banking team as the lender seeks to grow the business. Sriram Muthukrishnan, who joins the bank from HSBC, has been appointed group head of global transaction services (GTS) trade product management. Mr Muthukrishnan, who brings with him more than 20 years of banking experience in Singapore and the region, will be responsible for strengthening the bank’s trade products and services. He will also oversee digital initiatives across the bank’s trade products and services for both large corporates and small businesses.
https://www.businesstimes.com.sg/companies-markets/dbs-makes-new-appointments-to-transaction-banking-team-in-bid-to-grow-business
https://www.straitstimes.com/business/banking/dbs-boosts-transaction-banking-team-with-new-hires

Oxley Holdings deputy CEO raises his stake to 29.78% as share price keeps falling
Oxley Holdings’ deputy chief executive bumped up his stake in the property developer on Monday, as the share price dropped to a fresh 12-month low, with the purchase disclosed in a filing the next day. Low See Ching paid S$0.295 a share in a market transaction for 300,000 shares, bringing his interest in the company to 29.78 per cent from 27.77 per cent previously.
https://www.businesstimes.com.sg/companies-markets/oxley-holdings-deputy-ceo-raises-his-stake-to-2978-as-share-price-keeps-falling

First Reit falls as concerns swirl over sponsor
First Reit suffered one of the steepest selloffs for a real estate investment trust in recent memory, plunging 16 per cent in just three days, to end at S$0.975 on Tuesday. It was the healthcare Reit’s lowest close since Aug 24, 2012 when it ended at S$0.97.
https://www.businesstimes.com.sg/companies-markets/first-reit-falls-as-concerns-swirl-over-sponsor

Lian Beng associated firm plans HK listing
Property firm Lian Beng Group on Tuesday said that its associated company United E&P plans to list on the main board of the Hong Kong stock exchange. Lian Beng owns 40 per cent of United E&P, which supplies construction materials and handles general construction works.
https://www.businesstimes.com.sg/companies-markets/lian-beng-associated-firm-plans-hk-listing

Views, Reviews, Forum & Others

More foreign issuers target Singapore-dollar market amid volatility
Bankers here are hopeful that more foreign issuers will be making a beeline for the local debt market, in light of some major deals recently. They say that foreign issuers are finding the Singapore dollar (SGD) market efficient and stable, relative to the bigger – but more volatile – US/Euro dollar markets.
https://www.businesstimes.com.sg/banking-finance/more-foreign-issuers-target-singapore-dollar-market-amid-volatility

Singapore investors unfazed by market volatility: poll
Fears over sluggish global growth, geopolitical uncertainty and trade tensions may have sent markets seesawing for most of the year, but only one in eight Singapore investors feel they pose a risk to investments, according to Legg Mason Global Asset Management’s Global Investment Survey which was released on Tuesday.
https://www.businesstimes.com.sg/companies-markets/singapore-investors-unfazed-by-market-volatility-poll
https://www.businesstimes.com.sg/banking-finance/one-in-8-singapore-investors-see-volatility-as-risk-to-investment-poll
https://www.straitstimes.com/business/companies-markets/singapore-investors-unfazed-by-volatile-markets-survey-finds

SGX lays out guidelines for listed companies issuing initial coin offerings
The Singapore Exchange (SGX) has outlined guidelines for listed companies planning to conduct an initial coin offering (ICO), which include making sure all relevant disclosures are made. In a regulator’s column, chief executive Tan Boon Gin of Singapore Exchange Regulation (SGX RegCo) highlighted that questions have come up with regard to the regulatory obligations of listed companies when they offer ICOs.
https://www.businesstimes.com.sg/stocks/sgx-lays-out-guidelines-for-listed-companies-issuing-initial-coin-offerings-0
https://www.straitstimes.com/business/companies-markets/sgx-guidelines-for-listed-firms-eyeing-initial-coin-offerings
https://www.straitstimes.com/business/companies-markets/sgx-issues-guidelines-for-listed-companies-issuing-initial-coin-offerings

Asia refinancing risk to ‘remain low’ in next 5 years: study
Refinancing risk in the Asia-Pacific will remain low and manageable over the next five years with most of the maturing debt in the investment-grade category, says S&P Global Fixed Income Research. According to their Asia-Pacific refinancing study, about US$1.2 trillion of Asia-Pacific financial and non-financial corporate debt rated by S&P Global Ratings is expected to mature from the second half of 2018 through 2023.
https://www.businesstimes.com.sg/banking-finance/asia-refinancing-risk-to-remain-low-in-next-5-years-study
https://www.straitstimes.com/business/companies-markets/refinancing-risk-in-asia-likely-to-stay-low-over-next-5-years

High Court rejects bid to stop bond payout over $1.46m home
Insurer AXA came under fire in the High Court for holding back payment of a performance bond that had been called by an aggrieved home owner, with the judge making clear the insurer could not await the outcome of a court application seeking to stop the payment.
https://www.straitstimes.com/singapore/high-court-rejects-bid-to-stop-bond-payout-over-146m-home

Cartier reopens its ION flagship boutique
A giant Ferris wheel with Cartier’s name emblazoned on it greets Christmas shoppers at the main entrance of ION Orchard this year, instead of the traditional Chrismas tree. A bigger draw lies just behind the Ferris wheel – the high-end jewellery and watch brand’s new flagship boutique, which has been remodelled and expanded to become Cartier’s gateway in South-east Asia.
https://www.businesstimes.com.sg/consumer/cartier-reopens-its-ion-flagship-boutique

FairPrice and Courts among 41 Top Influential Brands
Courts, FairPrice and Sephora were some of the well-known companies recognised yesterday for their branding strength and positive engagement with consumers. They were among 41 named as Asia’s “Top Influential Brands”, while nine other companies, including Grab and Maybank, were honoured as “Top Employer Brands” at a summit organised by consumer think-tank Influential Brands.
https://www.straitstimes.com/singapore/fairprice-and-courts-among-41-top-influential-brands

Clamping down on money laundering
In September this year, the CEO of Danske Bank resigned from his post after a report revealed that up to US$230 billion may have been laundered through its Estonia branch over a nine-year period. In that worst-case scenario, the Danske scandal would rank as potentially the largest case of systemised money laundering in history.
https://www.businesstimes.com.sg/opinion/clamping-down-on-money-laundering

Theresa May’s Brexit deal has a fatal defect
Last week Theresa May unveiled her draft agreement with the European Union on the terms of Britain’s exit. The reaction was exactly as expected. Remainers despaired because the deal is so much worse than staying in the union – which is true, of course. Leavers despaired because the deal is Brexit in name only – which is also true. But that was bound to happen, right? Whatever variant of the earlier much-derided Chequers plan May had brought the EU to accept, the response from both sides would have been exactly the same.
https://www.businesstimes.com.sg/government-economy/theresa-mays-brexit-deal-has-a-fatal-defect

Thailand’s no beach party for foreign investors
Bangkok may be among the world’s top 10 tourism destinations, but for overseas investors it’s about as popular as a beach holiday in the Arctic. Foreigners sold a net US$8.7 billion (S$11.93 billion) or so of Thai stocks this year, the most since data began in the late 1990s.
https://www.todayonline.com/commentary/thailands-no-beach-party-foreign-investors