United Engineers: Life After Takeover Offer (Part 2)

United Engineers – Deeper Implications from the Failed Offer for WBL

United Engineers: Life After Takeover Offer (Part 3)

United Engineers – Pre-Conditional Voluntary Unconditional Cash Offer for WBL Corp

Singapore and emerging market real estate

Royston Foo

Equity Bottom-Up

United Engineers (“UEL”) reported its 3Q18 financial results this evening. The weak set of results did not come as a surprise. The thesis supporting the investment merits of UEL and potential share price catalysts still hold.UEL is embarking on asset enhancement initiatives for its investment properties in Singapore. This is a critical aspect to improve operating performance of UEL’s portfolio of investment properties, improve valuation and create value for shareholders. However, asset enhancement is a long-term process and any tangible benefits from AEI can only be seen over the mid to longer term.Over the short to mid-term, a potential takeover of UEL could still be on the cards. Second largest shareholder – Oxley and its management have continued to acquire shares of UEL from the open market.In view of the potential share price catalysts, I maintain my BUY rating on UEL with a fair value of S$3.26 per share.

United Engineers (“UEL”) reported its 3Q18 financial results this evening. The weak set of results did not come as a surprise. The thesis supporting the investment merits of UEL and potential share price catalysts still hold.UEL is embarking on asset enhancement initiatives for its investment properties in Singapore. This is a critical aspect to improve operating performance of UEL’s portfolio of investment properties, improve valuation and create value for shareholders. However, asset enhancement is a long-term process and any tangible benefits from AEI can only be seen over the mid to longer term.Over the short to mid-term, a potential takeover of UEL could still be on the cards. Second largest shareholder – Oxley and its management have continued to acquire shares of UEL from the open market.In view of the potential share price catalysts, I maintain my BUY rating on UEL with a fair value of S$3.26 per share.

United Engineers – Looking Beyond the Weak Earnings; Still a Potential Takeover Target