Eagle HTrust USD IPO

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There are many reasons why I will not be be applying for Eagle HTrust USD IPO.

  • Ara HTrust USD made their debut on SGX about 2 weeks ago. It failed trade above the IPO price USS$0.88 since.
  • There is a possibility  that next month June, there may be a IPO for KBS Prime US Reit (Business Times, 1 May 2019). I cannot help but be cautious when there is a sudden 3 IPOs from US properties. Am I gullible enough to buy what american investors may not want?
  • Recent IPOs from Cromwell, US Manulife, Keppel KBS, Frasers L&I, issued rights not long after their IPO debut. Their prices dropped significantly during their right issues. It may be more prudent to buy Eagle HTrust USD if they have a rights issue. Afterall, the gearing is already at 38%. It is unlikely they can acquire any more properties without raising equity.
  • There is not enough information on their sponsor. Knowing what the sponsor stands for is important to me. My preference is to invest in Reits with a track record rising DPU.

Here are 4 good analysis from bloggers. Note that they are detailed and will be pretty long read!

https://risknreturns.com/2019/05/19/eagle-hospitality-trust-ipo-review/

https://www.probutterfly.com/blog/review-of-eagle-hospitality-trust-ipo-and-the-queen-mary

http://mystocksinvesting.com/singapore-reits/eagle-hospitality-trust/eagle-hospitality-trust-ipo-prospectus-summary/

https://investmentmoats.com/money-management/reit/eagle-hospitality-trust-eht-ipo-analysis/

  • I'm a remisier with Maybank Securities, and as a bonds and REITs investor myself, I guide my clients to build resilient bonds and REITs portfolios. If you like to be guided, please open a trading account to become my client; It's free!