MirageHotelPDlooks like majority of you here are quite worry about dilution of DPU if the private placement RM800m is realize. What about, with the PP, the company can reduce the debt level to much before 50% and therefore can barrow more low interest fund to acquire more high return hotels, like Majestic Hotels ? Bare in mind, with recent valuation hike in Austarlia hotels, the company no longer in the hurry to raise PP due to the total % of debt already falls below 50%. While you all keep waiting for the price to further down. I'm happily collecting reit that can secure me 8% or even higher.
IVKLSEYTLREIT had increase its credit limit to 60% so that is not a problem. But the debt is going to expiring in 2017 is worrying me, anyhow the loan going to be repaid either by private placement or get another loan.
Yes currently these counter give high dividend yield when we use its past dividend record and compared to it current price. But no one know how is the drop in tourism industry in Malaysia these year will affect YTLREIT and hence the dividends. If you looking for high dividend yield there is another REIT, AMFIRST you might interest at (I have never done any research on these AMFIRST yet).
As for property valuation, I personally don't look much at its because it is just paper asset. Whether we can get a buyer that willing to buy the properties at valuation price is still a question mark.
For short term investor who is looking for the dividends (around 8% per annual based on previous dividend paid out) can still collect the shares but just be careful on the large debts which eventually need to paid back one day as for now is around November 2017(based on 2014 annual report).
MirageHotelPDIVKLSE, I guess you didn't follow the restructuring of Stareit in 2011 and change name to YTL reit after that. YTL reit lease all the hotels in Malaysia & Japan with 15 years tenure and increase rental every 5 years. Every year, YTL Reit annual report mentioned that 'the income for YTL a REIT in Malayisa does not depends on economy outlooks. So, don't worry about tourism industrial in Malaysia until the lease expire in 2026.
ocpd@ivklse ytlreit income in Malaysia is guaranteed thru fixed leases (with increment), while Australia tourism is only ever increasing since the depreciation of Aussie dollar.
MirageHotelPDWhen Stareit sold Lot 10, Starhill shopping lots.. To Starhill global REIT in 2010. The proceed is used to buy 8 hotels in Malaysia and 1 in Japan. These 10 hotels (+ JW Marion)are least back for 15 years to the vendors at rate of around 8% base on NTA, the least are with conditions to increase rental 5% for every 5 years till least expires in 2026. Since the income from Japan is fixed, when Yen depreciate to 2.8 it affects the income for past 2 years. Now, Rm is depreciate instead. We should expecting better income on the way since both Yen and Aussie are high now. Good luck for those still keep the units.
Coldmanivan9511, u can get RM19.2 b4 tax deduction
MirageHotelPDRM0.0192 DPU. withholding tax in Malaysia for individual is 10%. net distribution per unit is RM0.01728 for 1st Quarter
gimengis this a good counter to masuk and hold for long term period?
ivan9511coldman - thanks you so much . based on your advice , let say 1 units= rm1.00 this counter give us around 9% profit a year from our capital. Then thiis counter consider high dividend counter
Am I right ?
Powerman1971Losses due to foreign exchange. I thought by right they should be making profit as they have properties in Australia and Japan where their currencies are appreciating against RM!
AlphabetaForex gain or loss has three parts, translation gain or loss in consolidating foreign subsidiary, valuation gain or loss due to foreign currency loan and transaction gain or loss. The first two are unrealized gain or loss unless there is a disposal or repayment of loan, whereas transaction gain or loss is realized gain or loss.
In the case of YTLREIT, in term of consolidating the Aussie and Japanese subsi, there is a translation gain but this go direct to reserve in Balance Sheet. Whereas the valuation loss of the AUD 262 million loan is charged as unrealized loss in P/L.
Overall the is a net gain and resulted an increase in Net Asset Value compared to last year audited account ended 30/6/15.
Take note that the management plan to raise RM 800 mil to repay debt has again not successful and application to Bursa on 20/11/15 to seek extension of time of six months from 30/12/15 to 29/6/16 to complete the placement to increase fund size still pending approval.
ivan9511And one questions guys , Normally the selling price is higher than buying prices , that is because people want to sell at a higher price instead of lower price. this is reasonable , I know . But why during break session 12:30pm until 2:30PM , the selling and buying prices Turned around。 Selling prices cheaper than buying , why got people want to sell their share at a lower price ?
Coldmanivan9511, yes this counter give well dividend among REIT company (correct me if I'm wrong). invest at your own risk.....
MirageHotelPDIvan9511, the yields of YTL REIT has been around 6.5-8% for past 6 years. Last net after tax given out was around 7.25 cents. If the price is 1.06, it translate into 6.83% yields. This year, the first quarter distribution stood the same, which means high change it will at least the same yields like last year.
MirageHotelPDivan9511, During the first 30 minutes before 9am. 2.30pm and 5 minutes before 4.50pm. Is called matching time. Buyer will call an offer price and sellers will put a price. The lowest and the highest will start matching and decide the optimum price. So, the lowest seller price has a priority to sell compare to other who call a higher price. The same to buyer who call highest price has the priority to buy first. Normally the transaction will match in within.
MirageHotelPDthis is beauty of investment in REIT, which you will enjoy reasonably stable income. When REIT have positive cash flow, they have to distribute at least 90% eventhough they have deficit in P&L. Last quarter, YTL REIT has gain in foreign valuation in Subsidiaries (hotel valuation increase mainly due to Australia Assets) from 1.3509 in June to 1.4089 in September. But at the same time also loss in foreign currency due to AD262 million loan which cause them owing higher on book. 50+ million losses in Foreign exchange translate to about RM0.039 per share. Which means YTL REIT still have net gain of RM0.018 during last quarter due to Currency fluctuation. However, these changes will not affect their cash flow since both are unrealise gain and loss. Threfore, their distribution is carry out as usual.
CLhonever late as it still have 6% of dividend yield..hahah..if you look for stable income..then just sit and take money...hahhaaXD
keanheeI wanted to buy this stock for long time but the news below worry me. Or should i be worry? The amount of new share is VERY significant.
PLACEMENT OF NEW UNITS IN YTL REIT TO RAISE GROSS PROCEEDS OF UP TO RM800 MILLION
ejticNAV is RM1.3384. Certainly heading towards RM1.28 direction
wei007The placement news keep on extending and extending. I bought 2 years ago when everyone said this placement will dilute shareholder equity. Well...after 2 years, my average cost already reduce to 0.87 just by receiving the dividends only.
Dun wait when you feel the price is reasonable else you will never get anything by listening to others.
Abraham DavidPlacement of 800 million new units will certainly dilute the shares. Then price will come down. Payment of 2.143 cts as dividend on 30/8. What would be the effect? The question now is whether sell now or after lodgement date of 12/8. Will some one answer me please now.
bktay123Usually price will fall by the same amount ex div. But YTL reit instead is moving up. Uptrend seems intact
gforce2Most of the MREITs are being played up, with the lower BLR and falling bond yields around the world. Combine that with the proposed SC changes to MREITs (allowing them to allocate some % to property development), and you have some interesting times ahead!
Yippy68Anywhere , ytl reit is one of the highest among first five on yield...when you own this reit, you own some share in some of the hotel in bukit Bintang,,pulAu pangkok, Japan Australia,,,,,
Yippy68When you are sleeping, they are working for you. Better than FD, if you trust a piece of ;FD receipt, you should trust a company own property at prime location.. The value will go up.
Abraham DavidI understand YTL REIT has relatively high debt though its dividend pay out is indeed very good at 7.0% pa. I wonder if I can continue to buy more of this REIT? Please advise.
keanheeI decided to wait till the issue of new share is over, which will be the end of this year.