SGD NEW ISSUE ALERT : CENTURION CORP SGD 3Y 5.5%

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ISSUER:  Centurion Corporation Limited
SERIES:  002
STATUS:   Direct, unconditional, unsubordinated and unsecured Notes
RATING:   Unrated
FORMAT: Reg S, S274 & 275 of SFA, issuance off S$500 Million Multicurrency Medium Term Note Programme
ISSUE SIZE:   TBD
TENOR:  3 years
ISSUE DATE:   [ ] July 2015
MATURITY DATE:     [ ] July 2018
REDEMPTION AT OPTION OF NOTEHOLDERS UPON CESSATION OR SUSPENSION OF TRADING OF SHARES:  At par, in accordance with the Programme
REDEMPTION FOR TAXATION REASONS: Yes, in accordance with the Programme
PAYMENT: Semi-annual, actual/365 (fixed)
DETAILS: SGD250K/Multicurrency Medium Term Note  Programme/Singapore Law/CDP
LISTING: SGX-ST

Comps:

 CENSP5.25 10/16: 100.75, 4.66%

Credit highlights

–  Listed on the SGX with market capitalisation of S$394 million as at 7 July 2015, Centurion Corporation Limited (“Centurion”) owns, develops and manages quality workers accommodation assets under the Westlite brand and five student accommodation assets under the Centurion Student Living brand. Centurion currently has a portfolio of 14 operational accommodation assets totalling more than 45,600 beds in Singapore, Malaysia, Australia and the UK.

–  For FY2014, Centurion reported its highest ever revenue of SGD84.4m, a 48% increase from FY2013. Net profit from core business also increased 63% y-o-y to SGD31.1m in FY2014

–  For 1Q2015, Centurion’s revenue grew 44% to SGD25.3m from SGD17.6m in    1Q2014. Net profit from core business also rose 66% in 1Q2015 to SGD9.2m from SGD5.5m in 1Q2014

–  Gearing ratio of 0.57x as at 31 Mar 2015 as compared to 0.52x as at 31 Dec 2014. Gearing ratio is computed as borrowings divided by Total Capital. Total Capital is calculated as borrowings plus net assets of the Group

Category : Market, Rates/Bonds