Capitaland Ascott (I'l just call it ART) announced a private placement at $1.045 and a small preferential offering at $1.025 and the price simply crashed. I bought at $1.04, $1.03, $1.01, and now $1.00.
The amount to be raised is relatively small compared to the size of the Trust and on a pro forma basis, it is yield accretive, so what's not to like about it? Hence my conviction to continue buying even as the price tanked.
As a 'bonus', Standard Chartered is offering 100% rebates on commissions for SGX stocks until 18 August as part of their NDP celebrations, so now is a good time to buy as any.
ART is one of my biggest holdings and if the price recovers, I technically should take some profits in order to do proper position sizing.
Market has been declining for the past few days. Do you still think the summary rally will come?
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