The Motley Fool

The Week in Numbers: Hong Kong Backs Down on Proposed Extradition Law

Hong Kong’s leader Carrie Lam suspended a highly unpopular extradition bill that sparked mass protests in the country. The proposed extradition law was set to cover Hong Kong’s 7 million residents and foreign and Chinese nationals living or travelling in the city.

About 1 million people marched through Hong Kong last Saturday protesting the Bill. This was the biggest political demonstration since Hong Kong returned to Chinese rule 22 years ago.

Lippo Malls Indonesia Retail Trust (SGX: D5IU) has priced its US$250 million five-year guaranteed senior notes at 7.25% and issued at a discount price of 98.973% of the par value. The bonds will mature on 19 June 2024.

The US dollar proceeds will be swapped into Singapore dollars with a fixed yearly interest rate of around 6.75%, under a swap transaction which has been entered into. The bonds have been oversubscribed with the final order book standing at more than US$475 million from 58 investors accounts. Proceeds will be used to refinance the majority of the REIT’s debt maturing in 2019 and 2020.

Frasers Centrepoint Trust’s (SGX: J69U) S$67.7 million preferential offerings have been oversubscribed by 1.96 times. Together with the S$369.6 million raised in a private placement, total gross proceeds of S$437.4 million was raised. The trust will spend around S$440.6 million on the acquisition of a one-third interest in Waterway Point.

Temasek launched a new private equity bond through its subsidiary, Azalea group. The retail tranche of the Class A-1 bonds totals S$180 million and will offer an annual interest rate of 3.85%. The launch comes on the heels of Astrea IV bonds, which were 7.4 times oversubscribed. The last day to subscribe to the retail bonds is Tuesday, 18 June.

Retail sales slid 1.8% in April, extending its slump to three months. Excluding motor vehicles, retail sales dropped 2%. Economists say that the slowdown is a reflection of low consumer confidence and reluctance to spend amid global tensions. Computer and telecommunications equipment industry fell the largest, declining 6.7%, and furniture and household equipment sector fell 6.5%Food retail receipts dropped 3.5%, and food caterers saw a 6.2% decline.

The World Trade Organisation has said that world trade could plummet 17% given a full-blown trade war scenario. The tensions and tariffs have also caused the International Monetary Fund to cut its global growth forecast to 3.5%, from 3.7%Trade growth was 4.6% in 2018 but slowed to 3% in 2018.

Lastly, Singapore condominium sales rose 0.4% in May, marking the fourth straight month of rising prices. The increased followed a 0.8% month-on-month gain in April.

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The information provided is for general information purposes only and is not intended to be personalised investment or financial advice. The Motley Fool Singapore has recommended shares of Frasers Centrepoint Trust. The Motley Fool Singapore contributor does not own shares in any companies mentioned.