GLOBAL LOGISTIC PROP LIMITED
MC0.SI
Global Logistic Properties Ltd: Company share buybacks continue unabated
- GLP begun to repurchase its shares in the open market since its full year results on 19th May as its share price traded in the range between S$1.70 and S$1.95, and this has continued unabated with the latest transaction being as recent as 8th July.
- So far, the company has gone into the market on 35 occasions to purchase some 57.8m shares for S$104.1m, which translates to an average price of S$1.80 per share.
- Given the group’s strong balance sheet with, on a pro-forma basis, US$2.0b cash and a look-through net debt to assets ratio of 24%, there is significant capital to deploy and we believe that these share buybacks are accretive to shareholders at currently undervalued share prices.
- We continue to take a positive view on management team’s pragmatic and disciplined approach to capital allocation in current conditions, and continue to see long-term value in GLP’s shares.
- Maintain BUY with an unchanged fair value estimate of S$2.37.
Eli Lee
OCBC Securities
|
http://www.ocbcresearch.com/
2016-07-11
OCBC Securities
Analyst Report
2.37
Same
2.37
