Suntec – Nomura

First look
After market close in Singapore today, Suntec REIT announced its 1Q09 results and that it has secured refinancing for all S$825mn of debts maturing this year. 1Q09 results beat our and consensus expectations, and we think management’s ability to achieve steady rentals in 1Q09 while keeping vacancy low is commendable in the current market. While the cost of refinancing appears to be above our expectation, we expect the share price to react positively to the news.

Strong 1Q; refinancing secured