APAC REIT Daily: Arena, Ingenia complete capital raisings, as REITs advance on recovery hopes

By Benn Dorrington

Here’s how the real estate investment trust (REIT) markets performed across Asia Pacific on Wednesday, 3 June 2020. 

Australia

The S&P/ASX 200 A-REIT Index soared 3.07% to 1,275.40, while the S&P/ASX 200 Index jumped 1.83% to 5,941.60.

Arena REIT (ARF) raised A$60m through the fully-underwritten institutional placement announced yesterday, up from A$50m due to strong investor interest, according to a statement. 

The placement was priced at A$2.28 per share, representing a 5.0% discount to its June 1 price. Arena shares closed 4.17% higher to A$2.50.

Ingenia Communities Group (INA) raised A$27.9m through its security purchase plan, above the original target of A$25m, the company said. Shares in Ingenia rose 2.80% to A$4.40.

“With two acquisitions announced on 27 May and further assets under assessment, we are confident of continuing to deploy capital as we identify attractive investment opportunities,” said Ingenia Communities CEO Simon Owen. 

Among the biggest movers were Unibail-Rodamco-Westfield (URW) shares, which jumped 10.36% to A$4.90, and AIMS Property Securities Fund (APW), which declined 2.79% to A$1.22.

Japan

The Tokyo Stock Exchange REIT Index jumped 1.95% to 1,734.95, as the Nikkei 225 Index climbed 1.29% to 22,613.76.

Shares in Nomura Real Estate Master Fund Inc. (3462) finished trading 5.43% higher at JPY 137,800 after concluding its JPY 40bn commitment line agreement. 

The unsecured, one-year commitment line has been arranged with lenders MUFG Bank, Sumitomo Mitsui Banking Corp, Mizuho Bank, and Sumitomo Mitsui Trust Bank, according to a statement. 

In a statement, the manager of Japan Real Estate Investment Corp. (8952) announced the retirement of auditor Yuuichi Ikeda effective from June 19. The company’s shares closed 0.17% lower at JPY 579,000.

Among the stocks with the greatest swings were Fukuoka REIT Corp. (8968) shares, which bounced 6.33% to JPY 137,700, and Nippon Prologis REIT Inc. (3283), which slipped 2.23% to JPY 294,300.

Singapore

The FTSE ST Real Estate Investment Trusts Index edged 0.16% higher to 846.29, while the FTSE Straits Times Index surged 3.40% to 2,700.39.

Shares in ARA US Hospitality Trust (XZL) rose 1.22% to S$0.42 after informing investors in a presentation that 18 of its hotels had resumed operations in late May.

The REIT also announced cost savings of US$143,000 per month, as well as new sale opportunities and liquidity preservation measures.

In Singapore, Ascott REIT (HMN) posted the highest gains, with shares up 4.00% at S$1.04, while ESR-REIT (J91U) stocks declined 4.82% to S$0.40.

Hong Kong 

The Hang Seng REIT Index rose 0.74% higher to 5,636.47, as the Hang Seng Index grew 1.37% to 24,325.62.

Prosperity REIT (808) was among the top movers, with shares rising 2.67% to HK$2.31, while Sunlight REIT (435) stocks dipped 1.03% to HK$3.85. 

Other markets 

In Malaysia, Tower REIT (5111) stocks rose 7.80% to RM 0.76, followed by Al-Aqar Healthcare REIT (5116) shares, which climbed 7.41% to RM 1.45.

In New Zealand, Kiwi Property Group Ltd. (KPG) shares jumped 5.42% to NZ$1.07, while Augusta Capital (AUG) stocks dipped 1.41% to NZ$0.70.

Learn more about Asia Pacific REITs:

REITS in AustraliaREITs in Thailand
REITs in JapanREITs in Taiwan
REITs in SingaporeREITs in Korea
REITs in Hong KongREITs in New Zealand
REITs in MalaysiaREITs in India
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Benn is a freelance journalist and the publisher of APAC Real Estate. He has reported for the Herald Sun, REFI Europe, S&P Global Market Intelligence, Leader Newspapers, and more.