The Straits Times Index (SGX: ^STI) lost a little ground today as it slid by 0.3% to 3,141. Despite the broad market index signalling a slightly bearish day, there were some interesting winners both within and outside the STI. Let?s take a look at them.
Cordlife (SGX: P8A) was one of the interesting winners today with a 14.2% jump to S$1. Earlier in the day, brokerage firm Maybank Kim Eng released a new research report on Cordlife, tagging its shares with a ?Buy? rating. It seems a probable guess that…
The Straits Times Index (SGX: ^STI) lost a little ground today as it slid by 0.3% to 3,141. Despite the broad market index signalling a slightly bearish day, there were some interesting winners both within and outside the STI. Let’s take a look at them.
Cordlife (SGX: P8A) was one of the interesting winners today with a 14.2% jump to S$1. Earlier in the day, brokerage firm Maybank Kim Eng released a new research report on Cordlife, tagging its shares with a ‘Buy’ rating. It seems a probable guess that the company’s share price jump had something to do with the research report but it’s also wise to not try and attach too much meaning to short-term movements, which are largely random.
In other recent news, the company, which provides storage services for cord blood, announced on last Friday that it had completed its acquisition of cord blood and cord tissue banking businesses in India, Philippines, Hong Kong and Indonesia for a total of A$5.5m. These acquisitions would add to the geographical diversity of the company’s existing operations, which previously included only Singapore, Hong Kong and China.
Sino Grandness (SGX: JS5), which does canning of fruits and vegetables along with making juices, was another big winner with its shares up by 11.7% to S$1.43 after it made an important announcement today. Turns out, the company’s proposing a spin-off of its beverage business, known as Garden Fresh (HK) Fruit & Vegetable Beverage Company, for an Initial Public Offering (IPO).
Not much is known yet about the announcement but there’s a possibility of substantial dilution of Sino Grandness’s stake in Garden Fresh following the spin-off. In addition, Sino Grandness may decide to sell its Garden Fresh shares depending on a number of factors such as prevailing market conditions and the extent of dilution of the former’s stake in the latter, among others. Sino Grandness’s recent first quarter results saw its beverage business bringing in quarterly revenue of RMB238.9m, a 50% increase year-on-year.
Shifting to companies within the STI, we have Genting Singapore (SGX: G13). Shares of the casino and resort company gained 3% to $1.36 on no material news. Last month, Genting’s first quarter results saw it post a 15% year-on-year decline in quarterly revenues to S$669.6m. Meanwhile, quarterly profit slid by 31% to S$145.4m. The company cited weakness with its casino business as the main drag on its quarterly results.
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