DAILY NEWS

Daily News – 25 February 2022 (Fri)

Singapore Real Estate

URA tender of Pine Grove plot could net bids of up to S$1,300 psf ppr: observers
The sale of a government land parcel at Pine Grove could see bids of up to S$1,300 per square foot per plot ratio (psf ppr) for the residential development, market watchers said Thursday (Feb 24). The Urban Redevelopment Authority (URA) on Thursday announced it has put up a residential plot, Pine Grove (Parcel A), for sale by public tender.
https://www.businesstimes.com.sg/real-estate/ura-launches-tender-for-land-parcel-at-clementis-pine-grove
https://www.straitstimes.com/business/property/pine-grove-land-parcel-launched-for-sale-ura

Singapore Economy

Oil, commodity prices to soar due to Russia invasion, driving up inflationary pressures
Oil prices are expected to soar with Russia’s invasion of Ukraine, driving up inflationary pressures and potentially hurting Singapore’s gross domestic product (GDP) growth, observers said on Thursday (Feb 24). The Republic should also brace for higher commodity prices in the short term, said OCBC chief economist Selena Ling, as the fresh sanctions announced by the European Union may not hurt Russia sufficiently to make it reverse course.
https://www.businesstimes.com.sg/government-economy/oil-commodity-prices-to-soar-due-to-russia-invasion-driving-up-inflationary-0

Ukraine crisis: S’pore LNG importers confident of supply continuity, but power bills likely to rise
Importers of natural gas in Singapore are confident they can continue to meet customers’ demands after Russia, a major oil and gas exporter, launched a military attack on Ukraine on Thursday (Feb 24). But the Republic remains vulnerable to soaring energy prices, which threaten to push power bills higher, they said. Oil prices surged past US$100 a barrel on Thursday after Russia’s invasion.
https://www.straitstimes.com/business/economy/singapore-lng-importers-face-test-of-resilience-as-ukraine-crisis-turns-global-supplies-unpredictable

Companies’ Brief

CapitaLand Investment reverses year-ago loss to post H2 profit of S$647m
CapitaLand Investment (CLI) on Friday (Feb 25) announced that it had achieved a net profit of S$647 million for the second half of the financial year ended Dec 31, 2021. This is compared with a net loss of S$680 million in the same period the year before.
https://www.businesstimes.com.sg/companies-markets/capitaland-investment-reverses-year-ago-loss-to-post-h2-profit-of-s647m
https://www.straitstimes.com/business/companies-markets/capitaland-investment-reverses-year-ago-loss-with-647m-second-half-profit

CDL swings into the black with S$129.7m profit in H2
Property developer City Developments Ltd (CDL) swung into the black with a net profit of S$129.7 million for its second half ended Dec 31, 2021, compared with a net loss of S$1.92 billion a year ago. The company saw its hotel operations segment return to profitability in the half-year period, and also expects an imminent rebound in the hospitality sector, it said in a bourse filing on Friday (Feb 25).
https://www.businesstimes.com.sg/companies-markets/cdl-swings-into-the-black-with-s1297m-profit-in-h2
https://www.straitstimes.com/business/companies-markets/cdl-swings-into-the-black-with-1297m-second-half-profit

Far East Orchard’s full-year net profit rises to S$28.1m on fair-value gains
Far East Orchard’s net profit for the financial year ended Dec 31, 2021 rose to S$28.1 million, from S$1.5 million the previous year, primarily on the back of fair-value gains on investment properties. Excluding the S$44.8 million in fair value and other gains, the group would have been in a net-loss position for FY2021.
https://www.businesstimes.com.sg/companies-markets/far-east-orchards-full-year-net-profit-rises-to-s281m-on-fair-value-gains

Ara Logos Logistics Trust, ESR-Reit to vote on merger on Mar 21
Unitholders of Ara Logos Logistics Trust and ESR-Reit will convene to vote on the proposed merger of the 2 real estate investment trusts (Reits) by way of a trust scheme arrangement on Mar 21, the Reits announced on Friday (Feb 25).
https://www.businesstimes.com.sg/companies-markets/ara-logos-logistics-trust-esr-reit-to-vote-on-merger-on-mar-21
https://www.straitstimes.com/business/companies-markets/ara-logos-logistics-trust-esr-reit-unitholders-to-vote-on-merger-on-march-21

Brokers’ take: SAC Capital initiates ‘hold’ on First Reit with S$0.32 target
SAC Capital initiated coverage on First Real Estate Investment Trust (First Reit) with a “hold” call and a S$0.32 target price. The target price is derived using the dividend discount model and assumes a cost of equity of 12.5 per cent.
https://www.businesstimes.com.sg/companies-markets/brokers-take-sac-capital-initiates-hold-on-first-reit-with-s032-target

Sunseap to shelve IPO plans after S$1.1b buyout; Temasek sold all 12% of its stake
Sunseap Group will put on hold plans to be listed on the Singapore Exchange (SGX), its chief executive officer (CEO) said after concluding the sale of a 91 per cent stake to EDP Renewables (EDPR) for S$1.1 billion on Thursday (Feb 24).
https://www.businesstimes.com.sg/companies-markets/edpr-to-invest-s10b-to-set-up-asia-pacific-hq-in-singapore-after-s11b-sunseap-deal

Views, Reviews, Forum & Others

Mental Health for the Great Return to Office
Covid has significantly blurred the boundaries between one’s residence and the workplace. The pressures traditionally found in the workplace have been digitally ‘transmitted’ via Zoom and Teams into the home environment.
https://www.businesstimes.com.sg/opinion/mental-health-for-the-great-return-to-office

Digital exchanges should start eating what they cook
“Crypto’s coming-out party” was The New York Times headline when cryptocurrency exchange Coinbase had its IPO about a year ago. Other exchanges – including Binance, the largest of them all – have since engaged with big institutional investors in private equity markets.
https://www.businesstimes.com.sg/opinion/digital-exchanges-should-start-eating-what-they-cook

Work and play get a green boost
“Am I working in an office or in a garden?” Central Business District folks who have just moved into CapitaSpring at Raffles Place may well be asking themselves just that. The 51-storey integrated development combines offices, retail space, Citadines-serviced residences and a hawker centre.
https://www.businesstimes.com.sg/lifestyle/feature/work-and-play-get-a-green-boost

Singapore Budget 2022

An apt Budget, but with transition costs
Budget 2022 has been broadly welcomed for its measures to reduce inequalities, its generous support for both households and companies and its incentives for decarbonisation. The tax changes, which were significant this year, were appreciated not only for their goals, but also for how they were crafted.
https://www.straitstimes.com/opinion/st-editorial/the-straits-times-says-an-apt-budget-but-with-transition-costs

Update on COVID-19 (Coronavirus Disease 2019) Situation

S’pore reports 18,593 new Covid-19 cases; 1,615 patients hospitalised
A total of 18,593 new Covid-19 cases were reported on Thursday night (Feb 24), down from 20,312 infections on Wednesday. This is the first day that the number of daily new cases has fallen below the 20,000 mark, after it exceeded that figure on Tuesday and Wednesday.
https://www.straitstimes.com/singapore/health/spore-reports-18593-new-covid-19-cases-1615-patients-hospitalised

Singapore delays plans to ‘reset’ Covid-19 rules as cases cross 20,000 mark for 2 days
Singapore’s plans to streamline its Covid-19 restrictions will be postponed owing to a surge in daily cases that have exceeded 20,000 for 2 straight days, the Ministry of Health (MOH) said on Thursday (Feb 24).
https://www.businesstimes.com.sg/government-economy/singapore-delays-plans-to-reset-covid-19-rules-as-cases-cross-20000-mark-for-2
https://www.straitstimes.com/singapore/implementation-of-changes-to-covid-19-safe-management-measures-to-be-postponed-due-to-surge-in-cases-moh

Doctors, nurses struggle to cope as Covid-19 patients flock to A&E depts
Hospitals and healthcare workers are struggling to cope with a flood of Covid-19 patients seeking treatment in the accident and emergency (A&E) department, many with mild or no symptoms and who do not require immediate medical attention.
https://www.businesstimes.com.sg/government-economy/doctors-nurses-struggle-to-cope-as-covid-19-patients-flock-to-ae-depts
https://www.straitstimes.com/singapore/health/doctors-nurses-struggle-to-cope-as-covid-19-patients-flock-to-ae-depts-many-with-mild-symptoms

170 clinics extend operating hours for 2 weeks as Covid-19 cases surge
Some 170 Public Health Preparedness Clinics (PHPCs) have answered the call to extend their operating hours for two weeks amid surging Covid-19 cases fuelled by the Omicron variant, Health Minister Ong Ye Kung said on Thursday (Feb 24).
https://www.straitstimes.com/singapore/health/about-110-public-health-preparedness-clinics-extend-operating-hours-amid-covid-19-surge

F&B outlets, gyms, bank branches face ad-hoc closures amid Covid-linked staff crunch
From fast-food chains to gyms to bank branches, Covid-related absenteeism is disrupting business operations across the island, resulting in temporary closures and reduced services. Ritual Gym’s Orchard branch, for instance, had to shut down for 4 hours last Sunday (Feb 20) as there were not enough coaches to conduct its high-intensity interval training workouts.
https://www.businesstimes.com.sg/government-economy/fb-outlets-gyms-cut-opening-hours-amid-covid-linked-staff-crunch

*For more information, please visit the Ministry of Health (MOH) website at www.moh.gov.sg and refer to go.gov.sg/mohupdates for updates on the COVID-19 (Coronavirus Disease 2019) situation