What this mean? What's Hektar related to KLCCP?

I received Hektar Annual Report today.
Wanna ask sifu to explain how Reit company pay their debt.

It stated Debt Expiry Profile as at 31 December 2012 as:

FY2013 - RM150m
FY2014 - 0
FY2015 - RM15m
FY2016 - RM271m

Total debt - RM436m
Gearing Ratio - 40.89%
Weighted Cost of Debt - 4.58%
Interest Cover - 4.67%


Does it mean by 2013, Hektar must vomit out RM150m to pay the expiring debt?
Normally, how they pay the debt? As the 4.58%(or should I use 4.67%?) is just to pay for interest of their borrowing, not even paying any debt yet, right?
What will happen by end of FY2016? Does it mean Hektar's debt will be cleared? Or it doesn't mean much, just that every year or so, Hektar gotta re-structure their debt (getting new borrowings to cover old borrowings) in order to avoid debt expiring?
For instance this total of RM436m debt, how many years normally (or reasonably) do you think Hektar required to clear them all?

Thank you!

I see.
Thanks!

I'd rather wait at 3.00 or below.

not attractive anymore.
retail malls rental more safe and yield now getting closer.
i started selling down my axreit in past few days.

thanks!

As axreit won't drop and continue to move up, i'd sold 70% of my holding already. Yield is too low now, don't like that.
KLCCP said 30 sen for current year, so net yield at current price 7.10 is only 4.2%*0.9(10% tax) = 3.78%. Wondering why people still chasing it.

This post has been edited by yok70: Apr 18 2013, 02:45 AM

same thought.

to buy, or to hold, for me, are under the same criteria: undervalued.

This post has been edited by yok70: Apr 18 2013, 11:17 PM

4.5% is gross or net? if gross, net is only 4.05%. So low.

1.Starhill - hotel
2.Al-AQAR Healthcare - healthcare
3.Al-Hadharah - plantation
4.Sunway - mix. majority retail mall.

good luck to you too.

I think only if they sell the property and make a profit, then only can benefit unit holder in the form of more yield (since REIT must at least distribute 90% income to unit holder) or re-invest those cash to increase future income. If not selling the properties, the "profit" is only "paper profit". Paper profit can disappear if in future properties price drop.

The income from the 3 newly acquired hotels in Australia depends on guest arrivals.
However, the local hotels has fixed rental rate, so steady income stream for many more years(10? 15 years? forgot) until if they re-valuate the contract.

3.50 or below. Even at 3.50, gross yield only 5.4%, not as attractive as over 6% before.
at 3.91, yield is only same as large-cap retail malls. i'd rather buy top retail mall reit for more defensive purpose.

many funds play up and down to profit from capital gain too.
consider June 2012, Government of Singapore has a stake of 5.67% vs today's 5.73. So the stake has actually increased as compare with a year ago.
now lets see EPF. A year ago holds 9.55% vs Today's 9.34%. Decrease a bit.

I do have some worry regarding Sungai Wang too. I can see the lower 3 floors have good crowd, but the upper floors are not. I think we need more human traffic into KL in order to maintain that crowd. Although KL traffic jam heavily, but shopping malls are just overcapacity.

not easy ahead as yield has been compressed since last 2 years.
probably looking at 3-8% pa capital gain is already good enough, cannot reach above 20% like past 2 years anymore.
anyway, if buy at the right time on dips, may gain another 5% or so.
but the risk is, when interest rate raise, reit may even suffer capital loss.

This post has been edited by yok70: Jun 12 2013, 01:09 PM

I also feeling lost on this company. I remember before acquisition of the 3 Australia Marriott Hotels, it was holding large cash? Then the acquisition still need to increase gearing a lot on that acquisition I think. Don't know why. Now once again large placement + up gearing? I can't even sure what's the yield for FY14. Now I am really
Cherroy got Stareit? Can share with us what's going on?
I wish some IB write research paper on this company, but so far can't find any.

This post has been edited by yok70: Jun 14 2013, 01:59 PM

thanks!

high dilution.