Oh, so the land was owned by Baiduri Kemas. Well, it's normal to see related party transactions by REITs. Directors would inject more properties into the REITs if the properties are of no use to them anymore. Axis Vista which was bought last year was also a related party transaction. It's alright as long as the returns can justify the purchase.

i tengah beratur kat 1.70

KUALA LUMPUR: Axis REIT has proposed to acquire an industrial complex Axis Steel Centre in Klang from Maximum Icon Sdn Bhd (MISB) for RM65 million cash.

In a statement to Bursa Malaysia on July 20, Axis REIT Managers Bhd said the purchase of the complex, comprising warehouses and office building/spaces on 66,450 sq m of land, met with its investment objectives and growth strategy.

It noted that MISB is related to certain directors of the manager and Baiduri Kemas Sdn Bhd, a major unit holder of Axis-REIT.

It said the properties had been valued an independent firm of registered valuers and that the purchase consideration of RM65 million was at a discount of 13.33% to Axis Steel Centre’s market value of RM75 million.

Axis REIT also proposed to increase its fund size, after its earlier mandate expired on Dec 31, 2008.

Separately, Axis REIT announced on July 20 a net profit of RM12.54 million for its second quarter ended June 30, 2009, up 31% from RM9.59 million the previous corresponding quarter.

It has declared a second interim distribution of 4.1 sen per unit payable on Aug 28, 2009.

Not going to wait until ex-dividend? I am waiting for profit-taking after 31 July

may pick it up after ex date if fall below 5cents shld be ok

You must be holding lots of this counter. Anyway you represent the rest of us to go and check and thanks for the trouble. You are the angel to protect our interest as well. Have a good trip and make sure it is worth what is paid for. LOL

protonw,

I am not an INED of AXREIT, why are you making me sound like one? I am doing this to protect my "rice bowl" lol.

As a reminder, I will only be "guessing" on the prospects of this land by observation. No valuations will be made since I am not a certified valuer

This post has been edited by Jordy: Jul 21 2009, 12:17 PM

Expenses can claim back from forumers or not ?

Just to be fair to Jordy.

LOL

This post has been edited by protonw: Jul 21 2009, 03:13 PM

Haha, no expenses will be incurred to me as that is my hometown. I have to be back there on Saturday anyways

And since we're mostly shareholders of AXREIT, I'm more than happy to be able to share such information to all. Better yet if we could have our own "EGM" to discuss issues regarding AXREIT. That would be healthy in my opinion

mamak EGM?

If most of you don't mind

Please reserve roti planta and teh tarik satu for me during the EGM.

cherroy, you SO far!

ooh! cherroy from penang? i tumpang cherroy...

klang my hometown too hahaha
ho chiak bah kut teh woh

This post has been edited by Muliku: Jul 21 2009, 06:43 PM

That is IF cherroy is free to drive all the way here

Yup. Want to join me to evaluate that piece of land on Saturday?

Just wanna share sumthing on AXREIT. Happy reading

Thank you for sharing. That's a good piece of information

I like the way LaBrooy put this:

"The bankers' strong support to our refinancing took us by surprise and our unit price has greatly improved as mutual funds like Amanah Saham are snapping up our units like crazy."

But one thing is for sure, I don't like surprises. It seems that they are going to have private placements every other quarter It's good if the properties are high-yielding ones.

That piece of land could add up to 1.28 sen EPU the coming year (claimed by LaBrooy). If that's the case, then the dilution effect would be effectively covered. I am really interested to know what on earth is on this land to make it produce an income of RM330k per month

The placement of 20% share at at least RM 1.55 (http://biz.thestar.com.my/news/story.asp?file=/2009/7/22/business/4364642&sec=business) will dilute the earning for about 16.7%. 1.28sen+16sen = 17.28sen - 16.7% = 14.4 sen. So, i am negative about the private placement unless the private placement price can be up to around RM 1.65 to RM 1.7 to hold the current price.
I decide to dispose part of it for safeguard.