Sasseur Reit was listed on the Singapore Exchange on the 28th March 2018 @ 0.80 SGD promising a 7.5% payout for year 2018.
Banking on the raising influence of China's Middle Class for branded products. Sasseur Reit has the following Outlet Mails in Tier 2 Cities in the Portfolio:-
4 Outlet Malls:
- SASSEUR (Chongqing)
- SASSEUR (BISHAN)
- SASSEUR (HEFEI)
- SASSEUR (KUNMING)
2 Right of First Refusal (ROFR) Properties:
- SASSEUR (XI’AN)
- SASSEUR (GUIYANG)
3 Pipeline Properties (Third Party Properties Under Management):
- SASSEUR (HANGZHOU)
- SASSEUR (NANJING)
- SASSEUR (ZHONGDONG
CHANGCHUN)
Since then, Maybank Kim Eng (7th June) and Citi Research (20th June) has initiated coverage on Sasseur Reit.
Target Price
MBKE: 0.9
Citi Research: 0.92
The coverage can be found here:
MBKE
Citi Research
With a 52 week low of 0.67and closing at 0.72 today translates to about ~10% lost since IPO. I have initiated a position with an average price below (0.7)
At current price range, it translates to about 8-9% payout for 2018 providing cushion to any further downside. With the 1st distribution by September 2018.
However, with the current macro environment (US / China Trade Wars and Weakening of the YUAN).
I wouldn't be in a hurry to be adding any further positions.
I would also be keeping a lookout on the acquisition prices of the 2 ROFR properties.
