Fraser & Neave’s property arm, Frasers Centrepoint (FCL), has announced plans to expand in China, Australia and Thailand, media reports said.
This comes ahead of FCL’s scheduled listing on the Singapore exchange on Thursday.
CIMB expects FCL’s market capitalisation to stand at S$5.3 billion, making it the fourth biggest Singapore-listed developer after CapitaLand, City Developments and Keppel Land.
According to its Chief Executive Lim Ee Seng, the company plans to grow its overseas portfolio to account for 50 percent of its assets in five years, an increase from 36 percent.
“We will focus mainly on our two core overseas markets China and Australia, while also seeking to increase our exposure to Thailand, Malaysia, and Vietnam,” Lim said.
Accounting for 72 percent of the group’s pre-tax profit and 46 percent of revenue, FCL said it aims to “explore residential and mixed-use projects” in Shanghai, Beijing, Shenzhen and Guangzhou, including in some “second-tier cities” such as Wuhan, Wuxi and Chengdu in order to “tap the growth in domestic consumption”.
FCL is also looking to develop “mixed-use urban regeneration projects” and more residential projects in Australia.
Lim noted that the outlook for the residential market in Perth and Sydney was “particularly favourable”, with Sydney benefiting from low vacancy rates, supply shortages and sustained growth in rents.
Nikki De Guzman, Junior Journalist at PropertyGuru, edited this story. To contact her about this or other stories email nikki@propertyguru.com.sg
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