Three Shares that Beat the Market Today


The Straits Times Index (SGX: ^STI) has finally broken its seven-day losing streak by inching up 0.1% to 3,062 points. The Straits Times Index  (SGX: ^STI) has made it eight days of consecutive losses by moving down 0.1% to 3,059 points. Within the index’s 30 constituents, 10 had ended the day with gains while 18 others made losses.

Here are three shares outside the index with some rather eye-catching gains.

Chemicals and fertiliser manufacturer China XLX Fertiliser (SGX: B9R) jumped by 16.9% to S$0.38. There was a very logical reason behind this huge jump – the company had received a buyout offer from Pioneer Top Holdings for S$0.40 per share, subject to shareholder and regulatory approval, among others.

Pioneer, together with its partners, were already in control of around 65% of China XLX’s 1b existing shares prior to this offer. Nothing’s set in stone yet at the moment but both parties would be notifying the investing public regarding the acquisition as and when necessary.

Vallianz Holdings (SGX: 545) is up 8.9% today to S$0.135. The vessel charterer and owner announced yesterday that it had gained shareholder’s approval for the grant of options to Swiber and the issuance of securities to Rawabi.

Under the deal with Swiber, Vallianz would be issuing 500m non-transferable share options to it. These options can potentially allow Vallianz to raise proceeds of up to US$22m should they be eventually exercised.

As for the other deal, Vallianz would be issuing Rawabi US$35.2m worth of securities, which can be converted into 800m shares of Vallianz.

The total proceeds from the deals, which can net Vallianz up to US$57.2m in cash before related expenses are deducted, have been earmarked for general working capital and future capital expenditures related to the expansion of the company’s fleet of vessels.

Darren Yeo, Vallianz’s chief executive, commented: “We are delighted to have received blessings from our shareholders at our [Extraordinary General Meeting] to proceed with the funding exercise which will further strength our capital base. This is in line with our current plan to deepen our capital structure, including exploring Islamic financing through a Sukuk programme.

Vibrant Group (SGX: F01) rounds up the trio with its shares climbing 2.9% to S$0.106. The logistics provider, who recently underwent a name change from Freight Links Express Holdings, announced its second quarter earnings yesterday evening.

Revenue for the half-year was up 3.8% year-on-year to S$90.2m while profits were 7.5% higher at S$14.9m. The company’s top-line had increased on the back of growth from its warehousing operations & logistics, chemical storage & logistics, and freight forwarding businesses.

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The information provided is for general information purposes only and is not intended to be personalised investment or financial advice. Motley Fool Singapore writer Chong Ser Jing doesn’t own shares in any companies mentioned.