Latest news with #SnehaKumar
The Star
5 days ago
- Business
- The Star
Singapore's CapitaLand Integrated to acquire remaining stake in CapitaSpring
SINGAPORE's CapitaLand Integrated Commercial Trust said on Tuesday that it would buy the remaining 55% stake in CapitaSpring from CapitaLand Development and Mitsubishi Estate on an agreed property value of S$1.05 billion ($816.55 million). CapitaLand Integrated estimates the total acquisition outlay for the office and retail components of the 51-storey integrated development in Singapore's prime central business district at about S$482.3 million. CapitaSpring has maintained nearly 100% committed occupancy as of June 30, 2025, underpinned by high-quality tenants from diverse trade sectors, CapitaLand Integrated CEO Tan Choon Siang said. "Our Singapore exposure will increase from approximately 94% to 95% of our portfolio property value, advancing our strategic goal to deepen our presence in this core market." CapitaLand Development will sell its 45% stake, while Mitsubishi Estate plans to divest its 10% interest. Both CapitaLand Integrated and CapitaLand Development are part of the broader CapitaLand Group, which Temasek Holdings backs. The acquisition will be funded through a private placement expected to raise around S$500 million, the company said in a statement. The offering will be priced between S$2.105 and S$2.142 per new unit. The acquisitions are expected to deliver a distribution per unit (DPU) accretion of 1.1% on pro forma basis, assuming CapitaLand Integrated had held and operated 100% of CapitaSpring from January to June of this year. Global demand for office space has grown steadily in the past few years after the pandemic, reinforced by Singapore-listed City Developments' sale of office complexes for S$834.2 million in June. ($1 = 1.2859 Singapore dollars) (Reporting by Sneha Kumar in Bengaluru and Scott Murdoch in Sydney; Editing by Sherry Jacob-Phillips and Rashmi Aich)
The Star
29-07-2025
- Business
- The Star
Citi announces research expansion into private industry, mostly tech firms
The Citigroup Inc (Citi) logo is seen at the SIBOS banking and financial conference in Toronto, Ontario, Canada October 19, 2017. Picture taken October 19, 2017. REUTERS/Chris Helgren/File Photo (Reuters) -Citigroup said on Tuesday it is expanding its research coverage to include private companies, with a focus on rapidly growing tech firms, mirroring a similar strategy by JPMorgan Chase, which has reportedly begun covering non-listed firms. The expansion will focus on about 100 of the most influential private companies, especially in key sectors like artificial intelligence, offering event-driven analysis on product launches, customer acquisitions and new business lines. However, the reports will not include price targets, buy/sell recommendations, or earnings forecasts, the bank said. This comes as several private companies, such as OpenAI, SpaceX and TikTok-parent Bytedance, command valuations that rival or surpass several major S&P 500 firms, blurring the distinction between public and private market influence. JPMorgan Chase has also been offering research coverage for private companies, many of which have high valuations or are delaying listings, a person familiar with the matter told Reuters on Friday. (Reporting by Sneha Kumar in Bengaluru; Editing by Sumana Nandy)
Mint
29-05-2025
- Business
- Mint
Banks, energy stocks lift Australian shares as inflation data keeps rate-cut bets intact
May 29 (Reuters) - Australian shares advanced on Thursday, led by banks and energy stocks, a day after data showed that inflation remained steady in April and within the central bank's target range, encouraging bets of further interest rate cuts this year. The S&P/ASX 200 index rose 0.2% to 8,414.80, as of 0034 GMT. The benchmark closed 0.1% lower on Wednesday. Data from the Australian Bureau of Statistics on Wednesday showed that consumer inflation held steady in April leaving the wagers of further rate cuts from the Reserve Bank of Australia still on the table. Financials rose 0.4%, with the country's top four banks climbing between 0.2% and 0.6%. Energy stocks rose 1.1% as oil prices gained after a U.S. court blocked President Donald Trump's tariffs from taking effect, among other factors. Woodside and smaller rival Santos added 1.3% and 0.6%, respectively. On the other hand, mining stocks fell for a third session in a row, down 0.4%, on extended downturn of iron ore futures from slowing steel production in top consumer China. BHP, Rio Tinto and Fortescue dropped 0.7%, 0.2% and 0.3%, respectively. Gold stocks slipped 0.7% to a one-week low despite steady bullion prices. Northern Star Resources declined 1.5% and Evolution Mining dropped 1.9%. Meanwhile, local technology stocks gained 0.5% as sentiment improved after Nvidia's first-quarter sales beat estimates. The sub-index is hovering near a three-month high, with WiseTech Global and ASX-listed shares of Xero climbing 0.4% and 0.2%, respectively. Meanwhile, New Zealand's benchmark S&P/NZX 50 index fell 0.2% to 12,334.11. The Reserve Bank of New Zealand lowered borrowing costs by 25 basis points on Wednesday. The central bank flagged a deeper easing cycle than it previously estimated in view of rising risks from a sharp shift in U.S. trade policies. (Reporting by Sneha Kumar in Bengaluru; Editing by Rashmi Aich)
Mint
28-04-2025
- Business
- Mint
Banks, healthcare stocks lead Australia shares higher
ASX 200 ends at one-month high Critical mineral miners rise on potential US defence funding CPI data due on Wednesday April 28 (Reuters) - Australian shares rose for the third consecutive session on Monday, driven by gains in heavyweight financials and healthcare stocks ahead of the country's quarterly inflation data later this week. The S&P/ASX 200 benchmark index closed 0.4% higher at 7,9971 points, its highest level since late March. The benchmark rose nearly 2% last week. The first-quarter inflation figures, due on Wednesday, are expected to fall marginally, building the case for an interest rate cut from the Reserve Bank of Australia (RBA) next month. If the consensus call for quarterly core consumer price index (CPI) is realised then RBA is likely to cut rates on May 20, said Chris Weston, head of research at Pepperstone trading platform. Banking stocks advanced 0.3%, with three of the "Big Four" banks rising between 0.8% and 1.7%. The country's largest lender, Commonwealth Bank of Australia, fell 1.1%, moving further away from the record high touched last week. Healthcare stocks added 0.9%, with the most expensive stock CSL climbing as much as 1% to a more than two-week high. Bucking the trend, mining declined 0.8% as iron ore futures slid on fears of top consumer China cutting steel output. Mining giants BHP slipped 1.1% and Fortescue fell 0.3%, while Rio Tinto advanced 0.1%. Meanwhile, Australian critical mineral miners such as Lynas Rare Earths, Delta Lithium and Sayona Mining , rose between 2.9% and 5.3% after news of significant funding from a potential $150 billion U.S. defence package. Gold miners also retreated following a slump in bullion prices as easing U.S.-China trade tensions dented demand for safe-haven assets. Among corporate news, shares of James Hardie rose 1.2%. The Australian Securities Exchange said it will review shareholder approval requirements for large corporate buyouts by listed companies, after investors questioned James Hardie's $8.75 billion deal for U.S. builder AZEK. New Zealand's benchmark S&P/NZX 50 index ended 0.7% higher at 12,098.89 points. (Reporting by Sneha Kumar in Bengaluru; Editing by Eileen Soreng) First Published: 28 Apr 2025, 12:24 PM IST
Yahoo
07-02-2025
- Business
- Yahoo
Australian companies' high valuations face a crucial earnings test
By Sneha Kumar (Reuters) - Corporate Australia kicks off its half-year earnings in full swing next week, and while modest growth is expected, traders will scrutinise whether profits justify stretched valuations, particularly in the face of challenges including U.S. tariffs. The ASX200 benchmark was last trading at more than 18 times future earnings, a roughly 11% premium to its average valuation over the last decade - largely due to an unprecedented rally in financial stocks last year. And while the broad market is widely expected to post flat or modestly higher earnings, a miss to expectations threatens to tip companies off their high valuations. "The February reporting season offers a crucial window into corporate Australia's health ... with earnings slowing in aggregate, valuations appear to have less room for error this season," analysts at retail stockbroker Morgans wrote in a note. Heightened global trade uncertainty due to U.S. tariffs on trade partners including China, a weakening Australian dollar, and the possibility of fewer interest rate cuts have put valuations squarely in the spotlight. Morgans analysts do not predict blue-chip firms with sound fundamentals will miss earnings forecasts, but an upside surprise to growth will be needed to justify any further expansion to valuations, they said. Financials, a bellwether sector led by Commonwealth Bank that registered a staggering 28% rally last year leading to concerns of stretched prices, are primed for decent earnings growth as they benefit from high interest rates, Morgans and UBS analysts said. Australian banks will see a "relatively benign reporting season" characterised by stable margins and solid credit growth, Citi analysts said, although stretched valuations and high expectations are "seemingly at odds with the modest core earnings outlook". Elsewhere, weakness in resources firms continues to be an overhang on the broader market. The sector is staring at low to mid double-digit earnings declines led by BHP Group, according to brokerages including Morgans, Citi and UBS, which cited weak Chinese commodities demand and higher operating costs. While analysts believe the sector is starting to provide "value on offer" to investors after a dismal performance last year - the worst since 2015 - Citi equities analyst Liz Dinh believes "persistent demand-side concerns and geopolitical risk overshadowing the improving valuation metrics". Retailers, another major component of the Australian market, are expected to register a strong first-half on an uptick in household spending, with interest rate cuts in the second-half of the year potentially further boosting spending. "We expect the rate sensitive sectors of tech, consumer discretionary and real estate stocks to attract investors in the latter six months of the year," said Grady Wulff, a market analyst at Bell Direct. Sign in to access your portfolio
