SPAusNet – BT
SP AusNet raises A$342m in offer
Strong demand from institutions; retail tranche to raise another A$92m
SP AusNet, a member of Singapore Power Group, raised about A$342 million (S$432 million) from the institutional component of its 3-for-20 accelerated non-renounceable pro-rata entitlement offer of its stapled securities.
It is set to raise a further A$92 million through the fully underwritten retail component of the offer at the same institutional price of A$1 (S$1.25) per new stapled security.
About 96 per cent of entitlements offered to eligible institutional shareholders were taken up. But the institutional entitlement offer ended fully subscribed because of significant demand from both new and existing institutional investors for excess allocations.
"This result demonstrates the confidence that both offshore and domestic institutional investors have in SP AusNet, given our proven track record in delivering security-holder returns," said Nino Ficca, SP AusNet's managing director.
M1 – Kim Eng
Mastering the Art of Prepaid
Prepay it forward. M1’s new prepaid MasterCard offering looks attractive enough to help it regrow its prepaid mobile segment, which has seen negative net-adds for the past two quarters. We maintain our BUY call on M1 and target price of SGD2.85, based on implied yield of 5% on FY12F DPS of SGD0.145.
Pioneers new prepaid MasterCard. The M1 Prepaid MasterCard is a multi-purpose debit card that allows users to top up M1’s prepaid cards, pay public transit fares, ERP and car park charges and make contactless purchases. We think it is an interesting product that should help M1 increase customer stickiness and reverse negative net-adds in prepaid. The main selling point is that it offers a simple way to pay for goods and services but without the complexity of owning a credit card.
Aimed at the young, the old and everyone in-between. M1 is targeting this card at any consumer who values convenience in general; in other words, the majority of its customer base can benefit. We think there are wide applications for the young, the elderly, migrant workers as well as professionals. For example, parents can charge the card with a fixed mobile allowance as well as their monthly allowances. Spending can be tracked online for better budgeting and financial management. There are no age or income restrictions to obtain this card.
Spotlight on StarHub. We took a look at the prepaid plans that are available on the market today and concluded that StarHub appears to be vulnerable to this new product from M1. We would not be surprised if it runs a negative prepaid net-add number in 2Q12 and 3Q12. Our comparison shows that StarHub currently is the least competitive in mobile voice calls, both locally and internationally. A 20-minute voice call costs SGD1.74 for StarHub versus SGD1.60 for M1 and SingTel, and its IDD rates to Indonesia and the Philippines are 2-4 times higher.
Maintain BUY on M1 with target price of SGD2.85. M1 has guided a stable outlook for FY12, driven by both its mobile data and fixed services segments. We expect its new product to drive higher-quality prepaid net-adds as well. Maintain BUY and target price of SGD2.85, based on implied yield of 5% on FY12F DPS of SGD0.145.
M1 – Kim Eng
Mastering the Art of Prepaid
Prepay it forward. M1’s new prepaid MasterCard offering looks attractive enough to help it regrow its prepaid mobile segment, which has seen negative net-adds for the past two quarters. We maintain our BUY call on M1 and target price of SGD2.85, based on implied yield of 5% on FY12F DPS of SGD0.145.
Pioneers new prepaid MasterCard. The M1 Prepaid MasterCard is a multi-purpose debit card that allows users to top up M1’s prepaid cards, pay public transit fares, ERP and car park charges and make contactless purchases. We think it is an interesting product that should help M1 increase customer stickiness and reverse negative net-adds in prepaid. The main selling point is that it offers a simple way to pay for goods and services but without the complexity of owning a credit card.
Aimed at the young, the old and everyone in-between. M1 is targeting this card at any consumer who values convenience in general; in other words, the majority of its customer base can benefit. We think there are wide applications for the young, the elderly, migrant workers as well as professionals. For example, parents can charge the card with a fixed mobile allowance as well as their monthly allowances. Spending can be tracked online for better budgeting and financial management. There are no age or income restrictions to obtain this card.
Spotlight on StarHub. We took a look at the prepaid plans that are available on the market today and concluded that StarHub appears to be vulnerable to this new product from M1. We would not be surprised if it runs a negative prepaid net-add number in 2Q12 and 3Q12. Our comparison shows that StarHub currently is the least competitive in mobile voice calls, both locally and internationally. A 20-minute voice call costs SGD1.74 for StarHub versus SGD1.60 for M1 and SingTel, and its IDD rates to Indonesia and the Philippines are 2-4 times higher.
Maintain BUY on M1 with target price of SGD2.85. M1 has guided a stable outlook for FY12, driven by both its mobile data and fixed services segments. We expect its new product to drive higher-quality prepaid net-adds as well. Maintain BUY and target price of SGD2.85, based on implied yield of 5% on FY12F DPS of SGD0.145.
STEng – BT
ST Engg unit wraps up stake in EcoServices
VT Aerospace acquires 50.1% equity interest
SINGAPORE Technologies Engineering (ST Engineering) has completed the acquisition of a 50.1 per cent stake in US-based engine wash services provider EcoServices LLC, with a restructuring of the original investment terms.
The completion of the investment makes EcoServices a subsidiary of Vision Technologies Aerospace Incorporated (VT Aerospace). VT Aerospace holds the aerospace companies of Vision Technologies Systems Inc (VT Systems), the US headquarters of ST Engineering.
Under the restructured terms, VT Aerospace acquired the 50.1 per cent equity interest for US$20 million, instead of US$33.3 million as announced last December.
But Pratt & Whitney – which retains the remaining 49.9 per cent stake – contributed all the assets of the EcoServices business to EcoServices except the business' intellectual property.
STEng – BT
ST Engg unit wraps up stake in EcoServices
VT Aerospace acquires 50.1% equity interest
SINGAPORE Technologies Engineering (ST Engineering) has completed the acquisition of a 50.1 per cent stake in US-based engine wash services provider EcoServices LLC, with a restructuring of the original investment terms.
The completion of the investment makes EcoServices a subsidiary of Vision Technologies Aerospace Incorporated (VT Aerospace). VT Aerospace holds the aerospace companies of Vision Technologies Systems Inc (VT Systems), the US headquarters of ST Engineering.
Under the restructured terms, VT Aerospace acquired the 50.1 per cent equity interest for US$20 million, instead of US$33.3 million as announced last December.
But Pratt & Whitney – which retains the remaining 49.9 per cent stake – contributed all the assets of the EcoServices business to EcoServices except the business' intellectual property.