I Will Take More Units Please

Disclaimer: This blog post is for entertainment purposes only where I share my findings and opinions about stocks. It does not constitute any buy or sell recommendation. Always DYODD before making any trade or investment decision.

I just received the DRP letter from Frasers Commercial Trust yesterday. The offer price is $1.3582 for each Unit. As the title of the post suggests, I would be taking more Units again. But is FCOT a good buy currently?

At the time of writing this Post, it has the lowest gearing and P/B among the commercial REITs with local assets in Singapore. P/B is 0.85 based on issue price of $1.3582.

AEI for China Square Central target to complete by 2H2019

Based on the recent DPU of 2.4 cents, I forecast the dividend yield for the DRP's price to be (2.4 x 4)/1.3582 = 7.07%. Alexandra Technopark's occupancy stood at 70.2% as at 30 Sep 2018. Hopefully, the occupancy would improve and give a boost to the subsequent distribution as Alexandra Technopark's AEI should be nearing completion.