Three Shares that Lost to the Market Today


Singapore’s stock market has finally broken its 8-day losing streak, with the Straits Times Index (SGX: ^STI) climbing 0.2% to 3,066.

Within the index, 16 shares had ended the trading session with gains, with the most notable winner being beverage manufacturer Thai Beverage (SGX: Y92), which moved up 5.4% to S$0.49. Meanwhile, 10 other blue chips made losses for the day.

What were some of the other unfortunate shares that ended the day in the red?

FJ Benjamin Holdings (SGX: F10) is down 2.3% to S$0.215. The company, which helps to build brands and develop retail and distribution networks for luxury and lifestyle brands, announced last week that its fashion label Raoul had just entered into a franchise deal to enter the Middle East market with the Chalhoub Group.

Chalhoub is “Middle East’s leading player in [the] luxury business” and the collaboration will see nine standalone Raoul stores be opened by 2017. There are already plans for one store opening each in the United Arab Emirates and Bahrain next year.

Raoul’s latest franchise deal is its third for the year and would bring the brand’s total store-count in the Middle East, China, and Sri Lanka to 37 over the next five years. This helps “underscore Raoul’s rising popularity and visibility among consumers and distributors in the region.”

Gold miner CNMC Goldmine Holdings (SGX: 5TP) slips 1.9% to S$0.255. The company had recently revealed am 80-20 joint venture with Mentari Besar Incorporated (Perak) to undertake tin mining projects in 700 acres of land in the State of Perak, Malaysia.

Chris Lim, chief executive of CNMC, commented on the joint venture: “This [joint venture] with MB Inc and ANR (MB Inc’s wholly owned subsidiary) fits the growth strategy of CNMC and marks the Group’s next phase of strategic business development…

Our commitment in the Sokor Project in Kelantan has given potential partners in the mining industry much confidence in us as a responsible and competent mining group in Malaysia. The signing of the [joint venture agreement] with a corporate entity associated with the Perak State Government is a testament to that confidence.”

According to CNMC, prices for tin are expected to be “relatively robust” due to rising global demand and a shortfall in supply.

Oxley Holdings (SGX: 5UX) fell 1.1% to S$0.46. Last week, the property developer issued S$100m worth of fixed rate notes (i.e. debt) that will be due on 2016. The notes carry a fixed annual interest of 5.1%, which would see Oxley paying out S$5.1m in interest payments each year.

Prior to issuing the notes, the company already has a total debt load worth some S$1.66b. With a total debt to equity ratio of 359% (exclusive of the newly-issued notes), Oxley Holdings is already heavily leveraged. Investors might want to keep an eye on its balance sheet.

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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.