Given that VIT is trading at 8.6% FY18 yield and 7.9% FY19 yield as of Thursday’s close, OCBC sees this as a fairly attractive entry price.
SINGAPORE (Mar 23): Viva Industrial Trust (VIT) presents an attractive opportunity even if its proposed merger with ESR-REIT falls through, says OCBC lead analyst Deborah Ong in a Thursday report.
Should an agreement on the merger be reached, OCBC believes that the share swap ratio will likely be at least dividend-neutral in order to entice VIT unitholders to accept the offer.
