Shangri-La Asia also owns Shangri-La branded hotels in Kuala Lumpur, Batu Feringghi in Penang, Bangkok, Chiangmai, Paris, Istanbul, Manila and Mauritius, all situated on freehold land. In total, Shangri-La Asia owns and manages hotels under four brands: Shangri-La Hotels and Resorts, Kerry Hotels, Hotel Jen and Traders Hotels.
SINGAPORE (Oct 21): Shangri-La Asia — owner of Shangri-La Hotel on Orange Grove Road, Shangri-La Apartments on Anderson Road, Shangri-La Residences on Ladyhill and Tanglin Place on Tanglin Road, which are all situated on freehold land in Singapore — has fallen some 60% from its HK$18 high in January 2018, and is now hovering around HK$7.84. At this price, the stock is trading at just 0.58 times its net asset value (NAV) of US$1.73 per share. Price-to-net asset value (P/NAV) is at its lowest level since 2015 (see Chart 1).
The company, listed in Hong Kong with a secondary listing on the Singapore Exchange, reported a 1.7% y-o-y rise in revenue to US$1.19 billion ($1.63 billion) for the six months to June 30 this year. China accounts for 41.5% of Shangri-La Asia’s assets and is the largest contributor to revenue at 37.7%, followed by Hong Kong, which contributed 16.2% to revenue in 1HFY2019 and accounts for 10.5% of assets. Singapore contributed 10.9% to revenue, and accounts for 12.1% of valuation (see table). The Philippines, where the company owns a Shangri-La-branded hotel that sits on freehold land in Manila, contributes 7.2% to revenue and accounts for 4.2% of valuation.
