Good morning, everyone! Here is the market overview of Singapore this morning:

Market performance.

Singapore stock market opened higher on Thursday. As of 10:15 am,The weather is good today The weather is good today.Rise by 0.42% to 3455.690 points, with 116 stocks rising and 49 stocks falling.

Market news.

In August 2024, driven by executive apartments, HDB resale prices will gradually rise.

According to SRX's report, in August 2024, the resale market for Housing and Development Board (HDB) in Singapore increased by 0.5% on a monthly basis, with a significant year-on-year growth of 7.5%. The growth is mainly driven by executive apartments, with a month-on-month increase in resale prices of executive apartments by 1%. In contrast, non-matured real estate prices increased by 1.2% on a monthly basis, while matured real estate prices slightly decreased by 0.2%. Among different housing types, three-room apartments led the year-on-year growth rate with an increase of 8%, followed by four-room apartments and five-room apartments with year-on-year growth rates of 7.5% and 6.8% respectively. Executive apartments saw a year-on-year growth of 5.7%. The resale market performance of non-matured real estate is better than matured real estate, with a year-on-year growth of 8.2%, compared to 6.3% for matured real estate.

Singapore's PMI increased in August, indicating sustained recovery in the manufacturing sector.

The Purchasing Managers' Index (PMI) in Singapore showed positive changes in August, rising to 50.9, an increase of 0.2 points compared to July. This improvement reported by the Singapore Institute of Purchasing and Materials Management (SIPMM) reflects an accelerated pace of expansion in key areas such as new orders, new exports, factory output, and input purchases. The employment index also showed growth, returning to the expansion range. In addition, the expansion rate of indices such as finished goods, imports, input prices, order backlogs, and future business accelerated, while the supplier delivery index returned to the expansion range. Stephen Poh, Executive Director of SIPMM, commented that these data indicate a steady recovery in the manufacturing sector.

Focus stocks

$IHH (Q0F.SG)$: Leading integrated healthcare provider IHH Healthcare plans to acquire Island Hospital in Penang for 3.9 billion Malaysian Ringgit (approximately 1.17 billion Singapore Dollars) to expand its business in Malaysia. The acquisition will be carried out by IHH's subsidiary, Pantai, and will cover the entire equity of the 600-bed facility currently owned by Comprehensive Care and controlled by Affinity Equity Partners. The transaction also includes a piece of vacant land worth 0.2234 billion Malaysian Ringgit, earmarked for future development. This strategic acquisition will make Island Hospital the 18th hospital for IHH Healthcare in Malaysia and the third in Penang, greatly enhancing its ability to serve medical tourists. Dr. Prem Nair, CEO of IHH Healthcare Group, pointed out that after the acquisition, more than one-third of medical tourists in Malaysia will use IHH facilities. This acquisition is expected to increase earnings per share (EPS) by 2026, further solidifying IHH's position in the healthcare sector in the region.

$CapitaLandInvest (9CI.SG)$CapitaLand Integrated Commercial Trust (CICT) announced a significant acquisition plan to acquire a 50% stake in the renowned Ion Orchard shopping center and its connecting underground link, Ion Orchard Link, from CapitaLand Investment (CLI) for 1.1 billion Singapore dollars. This strategic move includes transaction-related expenses and adjustments to 50% secured bank loans. To finance this acquisition, CICT will utilize a combination of private placement and preferential issuance to raise at least 1.1 billion Singapore dollars. This transaction is expected to increase Distribution Per Unit (DPU) and enhance CICT's investment portfolio by adding a prominent asset and a strong tenant mix (including around 300 international and local brands). CLI has committed to fully subscribe to its rights under the preferential issue, and the acquisition is expected to be completed in the fourth quarter of 2024, subject to unit holders' approval. This initiative is part of CICT's broader strategy to strengthen its position in the luxury retail sector in Singapore and leverage the limited retail supply in the Orchard Road area.

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Source: The Business Times, SGinvestors.io, Business Review

Editor/Feynman