Sponsor: ARA Asset Management Ltd
Issue size: 893,872,000 to 901,292,000 shares
Distribution Yield 2013E :7.0% to 7.2%
Price range (based on RMB5.115 = SGD1.00) : RMB4.40 (SGD0.86) - RMB4.70 (SGD0.92)
Expected Allocation: 24 Oct
Expected Listing Date : 30 Oct
Preliminary prospectus is here.
I received the above from my broker today. It always gives me "bad feeling" when Li Ka-Shing wants to cash out of the market. You can see that he always cash out at the market top. You can see it in Suntec, you can see it in Hutchison Port and you can see it in Hui Xian REIT. Sounds similar to the Ding Xie effect which i was talking about? hahaha
Dynasty REIT is established with the investment strategy of investing in income producing assets in PRC that is used for commercial purposes. The initial portfolio is Nanjing IFC, Dalian TRC and Shanghai ICP.
I don't wish to comment further until i see the final prospectus and the implied yield. At the end of the day, it is a play on the outlook of the economy of China and whether the offices can be fully leased out to generate the passive income to you.
The 3 buildings are:
Track Record of Superman LKS in a similar REIT
Hui Xian REIT was launched at RMB 5.24 in 2011. It is currently languishing at RMB 4.02. The information is here. Share price chart attached below for your information.
Mr. Li is a genius and i am indeed "wary" whenever he comes to the IPO market. hahaha.