In his Oct 7 note, Natarajan points out that the REIT's target to increase the mix of its logistics, industrial and data centre (DC) assets to account for around 70% of its portfolio by 2027 from 59% now is a positive step that should help narrow the discount to NAV, which is at around 25%.
Vijay Natarajan of RHB Bank Singapore has kept his "buy" call and EUR1.90 target price on Stoneweg European Stapled Trust, on prospects of "exciting" NAV growth potential with the REIT's investment in a data centre fund raised by its own sponsor, which has yet to be recognised by investors.
Meanwhile, its distribution per unit is set to rebound this coming year due to organic growth and post-finance cost normalisation.
