Institutional net buying notches higher on MSCI rebalancing

INSTITUTIONS were net buyers of Singapore stocks over the five trading sessions spanning Aug 30 to Sep 5, with S$328 million of net institutional inflow. As much as half of the S$328 million in net institutional inflow was booked on the Aug 30 session, which coincided with the implementation of the August MSCI quarterly index review at the close of the session.

Leading the net institutional inflow were DBS, Singtel, UOB, Seatrium, Sembcorp Industries, OCBC, Genting Singapore, Yangzijiang Shipbuilding Holdings, Mapletree Pan Asia Commercial Trust and Singapore Exchange.

Leading the net institutional outflow were Sats, UMS Holdings, Keppel Reit, Best World International, Venture Corporation, ST Engineering, City Developments Limited, Jardine Matheson Holdings, Frencken Group and Wilmar International.

There were 21 primary-listed companies that conduct buybacks with a total consideration of S$19.8 million.

OCBC led the buyback consideration tally, acquiring 600,000 shares at an average price of S$14.73 per share. Digital Core Reit Management acquired 269,700 units of Digital Core Reit between Sep 4 and 5.

Global Investments bought back 1.5 million shares, taking the cumulative percentage of issued shares (excluding treasury shares) acquired on the current mandate to 1.34 per cent. The five trading sessions also had close to 90 director interests and substantial shareholdings filed for 40 primary-listed stocks.

Directors or CEOs filed 24 acquisitions and three disposals, while substantial shareholders filed eight acquisitions and six disposals.

Tuan Sing Holdings

Nuri Holdings increased its interest in Tuan Sing Holdings from 53.65 per cent before Aug 21 to 53.89 per cent as at Sep 4.

This has increased the deemed interests of executive director and CEO William Liem and non-executive and non-independent director Michelle Liem Mei Fung.

The 2,010,600 shares acquired between Aug 29 and Sep 4 were transacted at an average price of S$0.227 per share.

On Aug 8, Tuan Sing Holdings reported a net loss of S$6.6 million for H1 FY2024 (ended Jun 30), primarily due to lower contributions from Link@896 and operating costs from Batam Opus Bay, while excluding an estimated S$18.5 million gain from the proposed divestment of an asset in Fuzhou.

The group also relayed that the asset enhancement of Link@896 is currently in progress, and expected to enhance the retail experience with better circulation areas and more open retail spaces with improved visibility upon completion in 2025.

Although profit contribution will be negatively impacted during the asset enhancement, the group anticipates positive contributions from the mall in the second half of next year.

Since its Golden Jubilee in 2019, Tuan Sing Holdings has embarked on a transformation from a niche developer to a major regional player in commercial, residential and hospitality properties across key Asia-Pacific cities.

Aedge Group

On Aug 30, Aedge Group executive chairman and CEO Poh Soon Keng acquired 2,480,000 shares at S$0.21 per share in a married deal with a consideration of S$520,800.

This increased his total interest in the Catalist-listed company from 69.98 per cent to 72.32 per cent.

Poh’s total interest comprises an 8.6 per cent direct interest and a 63.68 indirect interest through PTCC Holdings.

Poh is also the founder of the group, and oversees its overall management, operations and strategic direction.

Based in Singapore and established in 2000, Aedge Group provides engineering, transportation and security and manpower services to meet diverse customer needs across various industries.

The group reported on Aug 29 that its FY2024 (ended Jun 30) revenue declined by 9.6 per cent due to lower engineering and security services revenue, but gross profit and earnings before interest, taxes, depreciation and amortisation improved in the second half through strategic initiatives and cost optimisation.

The group added that its investment property is generating recurring income. The FY2024 net loss after tax decreased from S$2.25 million in FY2023 to S$590,000 in FY2024.

Poh noted that despite ongoing macroeconomic volatility, the group has shown resilience, thanks to the strategic operational efficiency initiatives it implemented in FY2023, such as securing high-quality contracts that align with its strengths.

He added that the conversion of its first industrial investment property into a dormitory is also progressing well, and the group will continue to explore property investments that complement its business.

CapitaLand Ascott Trust

On Aug 30, CapitaLand Ascott Trust Management non-executive non-independent director Kevin Goh Soon Keat acquired a principal amount of S$250,000 in CapitaLand Ascott Trust Perpetual Securities.

On Aug 7, DBS Trustee, acting as trustee of CapitaLand Ascott Reit, issued S$150 million in principal amount of 4.6 per cent subordinated perpetual securities, which were listed and quoted on the Singapore Exchange on Aug 8.

Goh is also the CEO of lodging in CapitaLand Investment and on the board of CapitaLand India Trust Management, the trustee-manager of CapitaLand India Trust.

Noel Gifts International

Between Sep 4 and 5, Noel Gifts International managing director Alfred Wong Siu Hong acquired 302,800 shares at an average price of S$0.356 per share.

With a consideration of S$107,741, this acquisition increased his total interest in the hampers, flowers and gifts company from 46.42 per cent to 46.72 per cent.

His preceding acquisitions were between Mar 13 and 15, with 99,900 shares bought at S$0.258 per share, and on Dec 13, 2023, with 75,000 shares acquired at S$0.265 per share.

The group’s FY2024 (ended Jun 30) revenue decreased by 7.4 per cent from FY2023 to S$16.7 million, with a gross profit of S$8.2 million and an improved gross profit margin of 49.2 per cent.

After recognising a profit of S$14.2 million from the disposal of its investment property, the group reported a net profit of S$13.3 million for FY2024.

Tai Sin Electric

On Aug 30, Tai Sin Electric executive director and CEO Bernard Lim Boon Hock acquired 200,000 shares at S$0.395 per share.

This increased his total interest in the industrial group from 17.70 per cent to 17.74 per cent. Lim has gradually increased his total interest in the company from 14.82 per cent at the end of 2019.

Tai Sin Electric reported its H2 F20Y24 (ended Jun 30) revenue increased 6.87 per cent from H2 FY2023, to S$204.9 million, driven by growth across all segments in South-east Asia.

For FY2024, the group’s revenue decreased by 5 per cent from FY2023 to S$400.7 million, with declines in the electrical material distribution and cable and wire segments, partially offset by growth in the test and inspection segment.

This boosted the group’s H2 FY2024 net profit to increase 61.6 per cent to S$7.7 million from H2 FY2023, while the FY2024 net profit decreased 12.3 per cent from FY2023 to S$14.7 million.

The group relayed that it is constantly on the lookout for suitable business opportunities to drive sustainable growth in South-east Asia, capitalising on resilient domestic demand underpinned by the continued development of digital infrastructure and the burgeoning green economy.

ABR Holdings

Between Aug 30 and Sep 2, ABR Holdings managing director Ang Yee Lim acquired 68,400 shares at an average price of S$0.44 per share. This increased his direct interest in the homegrown restaurant operator from 52.25 per cent to 52.29 per cent. 

His preceding acquisitions were on Aug 22, with 100,000 shares acquired at S$0.449 per share and in January with 175,300 shares acquired at S$0.476 per share.

Ang has served as managing director since July 2004, and led the group to a 13 per cent revenue increase from H1 FY2023 to S$64 million in H1 FY2024, driven by new outlets and improved margins, despite challenging market conditions.

ValueMax Group

On Sep 2, group executive chairman of ValueMax Yeah Hiang Nam acquired 41,800 shares at S$0.45 per share.

This increased his total interest in the pawnbroking, moneylending and retail and trading of gold and jewellery business to 85.20 per cent from 85.19 per cent.

The move followed his acquisition of 251,400 shares at the same price between Aug 23 and 27, and purchase of 928,300 shares at an average price of S$0.441 per share between Aug 14 and 19.

The writer is the market strategist at the Singapore Exchange (SGX). To read SGX’s market research reports, visit sgx.com/research