If Gerald Wong of finance platform Beansprout is right, there’s more room to go. “CAREIT offers a differentiated entry point into the attractive purpose-built worker accommodation (PBWA) and purpose-built student accommodation (PBSA) sectors,” states Wong in his initiation report on this counter.
Centurion Accommodation REIT (CAREIT) is the second-largest new issue this year, having raised over $700 million, which has helped propel the Singapore Exchange (SGX) to the ninth position in the global initial public offering (IPO) rankings.
Besides putting SGX back on the list of exchanges that perform their core function of helping companies raise funds, the listing of CAREIT has helped its unit holders make a decent return thus far. From the issue price of 88 cents, the REIT closed at $1.02 on Oct 1.
